US President Joe Biden and Chinese President Xi Jinping issued warnings about challenging times ahead during their addresses at an Asia-Pacific economic summit in Lima, Peru. This gathering is particularly significant as it marks the last official face-to-face meeting between the two leaders before Donald Trump takes office again as President in January. The backdrop of Trump’s anticipated return raises concerns over potential trade conflicts that could further strain the global economic landscape.
In a written speech shared with attendees at a CEO meeting during the Asia-Pacific Economic Cooperation (APEC) summit, Xi expressed his apprehensions regarding the rise of “unilateralism and protectionism,” as reported by China’s state news agency Xinhua. He highlighted the risk of a “fragmentation of the world economy” amidst escalating tensions and shifting political dynamics.
Biden echoed these sentiments, describing current global circumstances as a “moment of significant political change.” While meeting with leaders from key US allies Japan and South Korea, he emphasized the importance of their trilateral partnership, stating it is “built to last.” The emphasis on collaboration serves as a countermeasure to the uncertainty introduced by Trump’s policies.
During the summit, both leaders engaged separately with South Korean President Yoon Suk Yeol. Yoon underscored the necessity of cooperation to ensure “stability and peace in the region,” particularly in light of North Korea’s continued military provocations and alliances, such as with Russia. Biden expressed concern over North Korea’s “dangerous and destabilizing cooperation with Russia,” fueled by apprehensions that Kim Jong Un might send troops to support Russia in its ongoing conflict with Ukraine.
The APEC summit, which was established in 1989 to promote regional trade liberalization, is a significant platform, accounting for approximately 60 percent of global GDP and over 40 percent of international trade. The agenda for the upcoming 2024 summit is poised to address trade and investment to foster inclusive growth. However, the looming influence of Trump—who has indicated a more confrontational approach toward China with plans to impose tariffs of up to 60 percent on Chinese imports—casts a shadow over the discussions.
Biden, who attended the APEC summit alongside US Secretary of State Antony Blinken, is navigating this transitional period carefully. Trump has suggested that he will replace Blinken with Senator Marco Rubio, known for his hardline stance on China. National Security Advisor Jake Sullivan noted the importance of the upcoming Xi-Biden meeting, indicating it will focus on acknowledging the progress in US-China relations while managing the transition ahead.
Trump’s “America First” initiative prioritizes protectionist trade policies, bolstering fossil fuel production, and avoiding foreign conflicts. This approach risks undermining alliances that Biden has formed on various issues, including climate change and international conflicts, while potentially disrupting economic stability not only for China but also the United States and its partners.
Additionally, Trump has threatened to impose similar tariffs on goods from Mexico unless the country takes action against crime and drug trafficking crossing the border, indicating a broadening of his protectionist agenda. The APEC summit also includes other member nations such as Chile, Canada, Australia, and Indonesia. However, prominent absences include Russian President Vladimir Putin, who did not attend the event.
As the summit unfolds, the leaders’ interactions will be closely monitored for indications of how US foreign policy might shift under the incoming administration and how these changes could affect international trade and regional stability in the Asia-Pacific.
