Dear Focus Reader,

Presidents Joe Biden and Xi Jinping met in person for the final time last weekend on the sidelines of the APEC summit in Lima, Peru, offering a moment for reflection on their years of diplomatic engagement. The meeting occurred against the backdrop of significant political shifts, with Donald Trump set to assume the U.S. presidency in January.

Both leaders described the U.S.-China relationship as "the most important" globally, emphasizing the necessity of careful management to prevent escalating tensions. Their discussions spanned key issues, including Taiwan, Ukraine, fentanyl production, and economic cooperation. Notably, they reached an agreement to ensure that artificial intelligence never replaces human control in decisions involving nuclear weapons, a groundbreaking step toward preventing AI-driven conflict.

Xi acknowledged the evolving dynamics, expressing a desire for stability during the upcoming transition. "China's goal of a stable, healthy, and sustainable China-U.S. relationship remains unchanged," Xi stated. Biden echoed the importance of candid communication while reflecting on past moments of cooperation and discord.

The meeting also marked an inflection point, with both leaders aware of the uncertainties Trump's return might bring. Xi's comments hinted at apprehension regarding Trump's policies, including tariffs and a more hawkish stance on Taiwan. Meanwhile, Biden focused on maintaining open channels of communication, noting, "What has made our relationship function is the candor and directness of our conversations."

This encounter was not only a farewell but also an opportunity to forecast the challenges ahead. Trump's potential trade policies, his approach to alliances, and his posture in the Indo-Pacific will undoubtedly shape future U.S.-China relations. Meanwhile, Biden leaves a legacy of fostering trilateral cooperation between the U.S., Japan, and South Korea—a strategic counterbalance to China's growing influence.

Learn more about U.S.-China relations by catching up on our latest Focus content, including topics on U.S.-China relations under Biden, China's economy under a second Trump presidency, the state of U.S.-Japan relations, and more.