Dear Focus Reader,
U.S. Senator Steve Daines, a staunch ally of President Donald Trump who has expressed willingness to serve as a special envoy to China, is currently in Beijing as trade tensions between the United States and China intensify. Today, Daines met with China's Vice Foreign Minister, Ma Zhaoxu, for a "deep exchange" on bilateral relations and mutual concerns. The talks focused on curbing the production and distribution of fentanyl, and advocating for fair market access for his home state of Montana's agricultural producers. This visit marks the first by a U.S. congressman to Beijing since Trump's inauguration.
These initiatives also aim to pave the way for a high-level discussion between Presidents Trump and Xi Jinping. This week, Trump announced that Xi is expected to visit Washington in the "not too distant future." While a date has yet to be officially set, it's anticipated to be held in June, aligning with the birthdays of both leaders. This "birthday summit" is envisioned as an opportunity to inject positive momentum into the bilateral relationship, amid increased tensions surrounding tariff disputes.
Meanwhile, attention has turned to Elon Musk's recent visit to the Pentagon, which sparked discussions about potential national security implications. Initially, reports suggested that Musk was to receive a top-secret briefing on potential U.S. war plans against China. However, Trump refuted these claims, stating that Musk would not be briefed on such sensitive matters due to his extensive business ties with China. Defense Secretary Pete Hegseth corroborated the President's remarks, clarifying that Musk's visit focused on innovation, efficiencies, and smarter production, rather than any discussion of war plans with China.
Learn more on China-U.S. relations by catching up on our latest Focus content, including articles on Trump's foreign policy, the reshaping of great power dynamics, and more.
The Shiller PE ratio in March 2025, more than double its historical median of 15.99, highlighting concerns over market overvaluation despite earlier optimism about Trump's economic policies.
Read more in "Trump's Wild Ride: Why the U.S. Stock Market Is Reeling" by Yu Xiang, Senior Fellow, China Construction Bank Research Institute.
Sharing a Red Note
Watch VideoIn our Focus Insights section, we featured an article by Ted Galen Carpenter, a senior fellow at the Randolph Bourne Institute, where he examines the evolving dynamics of U.S.-China relations within a great power system based on spheres of influence.
We want to hear from you!
Would a great power system based on spheres of influence lead to a more stable or more volatile international order?
Submit your thoughts to USeditor@chinausfocus.com for a chance to be featured in next week's Focus This Week.
Prepared by China-US Focus editorial teams in Hong Kong and New York, this weekly newsletter offers you snap shots of latest trends and developments emerging from China and the U.S. every week. It is a community space to exchange thoughts and ideas about the China-U.S. relationship and beyond.