Biden, Xi set for final meeting in Peru amid growing tensions

Rising challenges

Tensions between the US and China have worsened due to:

• Cybersecurity: Washington is angered by a China-linked hack targeting US government and presidential campaign officials.
• Taiwan: Beijing opposes Taiwan President Lai Ching-te’s planned stop in the US, as well as Biden’s meeting with Taiwan’s former economy minister Lin Hsin-i, who invited Biden to visit Taiwan.
• Trade disputes: Biden’s administration has imposed restrictions on US investments in Chinese technologies, including AI and semiconductors, and export controls on advanced chips.
• Russia: China’s support for Russia continues to strain US-China relations.

Jake Sullivan, Biden’s national security adviser, described the transition period as a critical time. “A time when competitors and adversaries can see possible opportunity,” he said, adding that Biden will emphasise the importance of maintaining “stability, clarity, predictability” during the US presidential transition.

Trump’s influence looms

The meeting comes as Trump prepares to return to the White House. His proposed policies include a sweeping 60% tariff on Chinese goods and appointing hawkish figures such as Senator Marco Rubio and Representative Mike Waltz to key roles.

Shen Dingli, a Shanghai-based international relations scholar, stated, “China definitely does not want relations with the United States to be thrown into turmoil before Trump formally takes office.”

China’s Latin America push

Xi’s visit to APEC is part of a broader diplomatic effort in Latin America, where he plans to strengthen ties. His schedule includes finalising a free trade agreement with Peru, inaugurating the Chancay deep-water port, and visiting Brazil for a state event.

US officials worry about China’s increasing influence in the region, with concerns about potential military and intelligence outposts. Chinese state media has dismissed these claims as baseless.

Ryan Berg of the Center for Strategic and International Studies remarked, “When Xi meets with Biden, part of his audience is not – it’s not solely the White House or the US government. It’s about American CEOs continuing US investment or trying to renew US investment in China and get rid of the perception that there’s a hostile business environment in China.”

(With inputs from Reuters)

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