Navigating the Trade Storm: The US-China Economic Face-off

Amid rising tension, the US and China struggle to organize a leaders' summit while complex trade negotiations unfold. With each side feeling dominant, experts predict only a narrow deal between Presidents Trump and Xi. Key issues include trade policies, economic strategies, and geopolitical posturing in an evolving global landscape.

A mere month after U.S. President Donald Trump's optimistic remarks on talks with China, both nations face mounting challenges to salvage a summit. The blame game intensifies, with each side accusing the other of exacerbating tensions that jeopardize the crucial $660 billion trade relationship.

China has taken a more assertive stance in economic negotiations, leveraging its control over rare earths as a countermeasure against U.S. pressure. This maneuver underscores a significant shift in strategy during Trump's second term, with Beijing expanding its jurisdiction beyond borders to control critical mineral supplies.

Experts suggest that each country believes it holds the upper hand in talks, with Beijing confident in its economic resilience and Washington relying on punitive measures. As negotiations continue, both sides look to diversify economies and develop new trade measures, although a comprehensive deal remains unlikely.

(With inputs from agencies.)