Trump seeks sectoral deals in Beijing

Trade is the easy part of this summit — or at least the easiest part. Donald Trump landed in Beijing on Wednesday, May 13, for a two-day visit with Xi Jinping, and both sides look to be chasing small, concrete wins instead of some grand reset. Think soybeans, liquefied natural gas, and Boeing jets. Not Taiwan, semiconductors, or a full rewrite of the U.S.-China relationship. ### Why are they aiming so low? Because the big stuff is too hard right now. Washington and Beijing still clash over Taiwan, export controls, rare earths, and military posture in Asia. Those fights are structural. They do not get solved in one summit. So both governments seem to be looking for a more transactional path — deals that can be announced quickly, shipped quickly, and sold at home as proof that talking still works. (newsday.com) ### What kind of deals are actually on the table? The chatter centers on agriculture, energy, and aircraft. Analysts expect possible Chinese purchases of U.S. farm goods and Boeing planes, plus some movement on energy trade if tariff barriers ease. That matters because these are politically useful sectors for Trump — they help farmers, manufacturers, and exporters in visible ways. They also let Beijing offer concessions without touching the most sensitive tech and security disputes. (cnbc.com) ### So what is still blocking that trade? Tariffs, basically. China still has duties on several U.S. energy and agricultural products, which has disrupted flows that used to be much larger. That means even if both leaders want to announce purchases, the plumbing is not fully fixed. A summit headline can promise more soybeans or fuel cargoes, but sustained trade needs tariff relief or carve-outs that make those shipments commercially sensible again. (cnbc.com) ### Why does Iran keep showing up in a China summit? Because the energy shock is bleeding into everything else. The war involving Iran has raised fears around the Strait of Hormuz, one of the world’s key oil chokepoints. China is a huge energy importer, so any threat to tanker traffic or crude prices lands directly on Chinese manufacturers and exporters. Turns out many businesses now worry more about supply-chain disruption from the Middle East than about the next round of U.S. tariffs. (money.usnews.com) ### Does that give China leverage? Yes — but it also gives China reasons to deal. Beijing knows Washington wants help calming energy markets and avoiding another inflation spike. Trump, meanwhile, wants fewer shocks hitting U.S. consumers and financial markets. That shared interest does not erase rivalry, but it creates a narrow lane for cooperation. If both sides can signal steadier trade and less energy panic, that alone would count as a win. (cnbc.com) This is less a peace summit than a market-stabilization exercise. ### Why not go for a bigger bargain? Because the trust is not there. The U.S.-China relationship has spent years hardening into a competition that touches defense, technology, industrial policy, and ideology. A farm order is reversible. A Boeing purchase is legible. A broad geopolitical settlement would require concessions neither side seems ready to make. So the summit logic is simple — bank the easy stuff, avoid a blowup, and leave the hardest disputes where they are. (newsday.com) ### What should we watch for first? Watch for specifics. If there is a real breakthrough, it will come with named sectors, quantities, or dates — not vague language about constructive dialogue. A Chinese commitment to buy U.S. agricultural goods, aircraft, or energy cargoes would be the clearest sign that the meeting produced something tangible. If the statement leans heavily on stability and communication, that tells you the summit succeeded mainly by preventing things from getting worse. (csis.org) The bottom line is pretty plain. Trump went to Beijing looking for sectoral deals because sectoral deals are the only kind that look achievable right now. If he gets them, both sides buy time. If he does not, the real story will be how much the Iran shock — not tariffs alone — has come to dominate the relationship. (cnbc.com)