The Mar-a-Lago meeting between presidents Trump and Xi has started to generate concrete results, the recently announced trade agreement between the countries shows. However, the transactional approach risks leading to an impasse; it needs to be buttressed by more fundamental deals, such as the US-China Bilateral Investment Treaty.

The new US leader has become more pragmatic about Beijing and established a good rapport with President Xi Jinping, but his approach to Taiwan, the One China policy and North Korea have failed to reassure many Chinese observers.

Expected by many to be a showdown, a clash between the world’s two powerhouse economies, the long awaited meeting between Trump and Chinese President Xi Jinping, fell far short of that. While the meeting itself was lackluster in regards to the fierce clash many had expected, it did produce two somewhat substantial outcomes — or at least the beginnings.

Difficulties for the U.S. are not opportunities for China. The road to make America great again leads to Beijing; and for China to be strong and prosperous, effective cooperation from the American side is also indispensable.

When Donald Trump became the 45th President of the United States on January 20, many in the U.S. and other parts of the world tended to believe that the U.S. would experience dramatic changes in the first two years of his presidency, creating a world full of uncertainties.

Trump’s ascension to power was bad news for Beijing, especially because his “Make America Great Again” vision collides with Xi’s “Chinese dream” to make this the “Chinese century.” Yet China thus far has not only escaped any punitive American counteraction on trade and security matters, but also the expected Trump-Xi bonhomie at Mar-a-Lago could advertise that the more things change, the more they stay the same in U.S. foreign policy.

Common strategic interests of both countries require the U.S. and China to contribute to a new security framework in Asia-Pacific, by working together towards a better security arrangement for the region. Over-reliance on military alliances targeting third parties cannot replace efforts to provide adequate security for all.

The sea issue is a stumbling block in China-US relations, but it’s not clear that the new president sees it as more important that the RMB exchange rate or other issues in the bilateral relationship. In that case, “freedom of navigation” there could be used by Trump as a bargaining chip in negotiations about issues that concern him more.

America’s biggest enemy today is neither China nor Russia, but its own identity crisis. Resorting to out-of-date thinking to seek a new “balancing” strategy of realigned alliances makes no sense in today’s economically interdependent world. Turning potential friends into foes, on the other hand, could lead the country in a terrible direction.

The swarm approach – by hitting Beijing on multiple issues in at once in a flurry – seems to be calculated upon Trump’s own business approach. This projects that Trump’s “leverage” over Beijing would compel painful concessions from China on core issues because of its fear over Washington’s scorn and threats.