Analyzing the recent meeting between Biden and Xi Jinping, exploring Xi Jinping's policy agenda and the tensions between security and economic growth, discussing past incidents and the current state of the US-China relationship, exploring complexities of de-risking and decoupling, and discussing changing attitudes towards the Chinese market.
The recent meeting between Joe Biden and Xi Jinping has raised hopes of a bilateral rapprochement, but there are underlying challenges for both countries, including Biden's political challenges and Xi's slowing Chinese economy.
Xi Jinping's ambition to transform China into a global power and his evolving leadership style, characterized by more aggressive actions in the region, have generated frustration among business elites, foreign policy elites, and the Chinese population.
Deep dives
China and the United States: Relations and Stabilization
The podcast episode discusses the recent meeting between Joe Biden and Xi Jinping and explores whether relations between China and the United States have stabilized. While the meeting went well and both leaders expressed positivity, there are underlying challenges for both countries. Biden is facing political challenges as he trails in the polls to Donald Trump, while Xi Jinping is dealing with a slowing Chinese economy. The conversation also delves into Xi's leadership style and his ambitions for China, including domestic remaking and positioning China as a global power. The episode emphasizes the need for a balanced approach to multiple priorities, including national security, technological upgrading, and social equity. It also highlights the ongoing concerns about the Taiwan issue and the potential for conflict between the two countries. While war is not seen as imminent, there is recognition of the political and diplomatic challenges in finding a resolution.
Xi Jinping's Leadership and Policy Decisions
Evan Madaros, an academic who previously worked in the Obama White House and has met Xi Jinping multiple times, provides insights into the Chinese leader's vision and approach. Madaros highlights Xi's ambition to transform China into a global power and the evolving perception of Xi's leadership style. From initially trying to understand the kind of leader Xi would be, it became clear through actions like island building in the South China Sea that his ambitions extended to more aggressive actions in the region. The episode further examines how Xi's policy decisions, such as zero COVID and the alignment with Russia, have generated frustration among business elites, foreign policy elites, and the Chinese population. While Xi has consolidated his power, there are growing challenges relating to economic struggles and policy implementation within the Chinese bureaucratic system.
Xi Jinping's Economic Challenges and Policy Mix
The podcast delves into the economic challenges facing Xi Jinping's administration, including a slowing economy and policy decisions that have generated frustration among different sectors. Experts suggest that Xi should focus on upgrading China's economy, liberalizing key sectors, investing in human capital, and reforming the tax and fiscal system. However, there is a concern that Xi's priorities, including self-reliance and national security, have skewed the policy agenda towards a security-focused approach rather than addressing the structural headwinds facing the economy. The episode highlights the need to strike a better balance and to prioritize policies that will rejuvenate China's economy and increase its global competitiveness.
US-China Relations in the Context of Taiwan
The podcast discusses the implications of the upcoming Taiwanese election and its potential impact on US-China relations. There is an expectation that the DPP candidate, William Lai, who is seen as more favorably inclined towards Taiwanese independence, may win the election. This could lead to a negative response from China, including economic and military measures, to demonstrate disapproval. The conversation also touches upon the broader issue of Taiwan, which is increasingly becoming a global concern and a flashpoint in the US-China relationship. The episode cautions against underestimating the risk of conflict and emphasizes the need for innovation and creativity in finding a political and diplomatic solution to the Taiwan issue.
A recent visit to the US by China’s president Xi Jinping has raised hopes of a bilateral rapprochement. But how stable is this more positive relationship and can a conflict over Taiwan be averted? Gideon discusses these questions with Washington-based China experts Evan Medeiros and Jude Blanchette. Clip: CNBC