Trump Returns from China as Gas Hits $4.52 Amid Iran War
SkimNews Take
The confluence of escalating tensions in both the South China Sea and the Middle East simultaneously tests global economic stability, as regional conflicts now have immediate, tangible impacts on distant markets.
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- Trump met with Xi Jinping in Beijing on trade, Taiwan, and energy prices, but Xi warned the U.S.-Chinese relationship would be 'at risk' if the 'Taiwan question' isn't handled well and invoked the 'Thucydides Trap.'
- Xi Jinping cautioned against a ruling power feeling threatened by a rising power, while Trump told Xi it was 'an honor' to be his friend.
- Secretary of State Marco Rubio said the U.S. and China agree the Strait of Hormuz should not be 'militarized' and should reopen, though readouts of the summit showed almost nothing said by the Chinese side about the strait.
- Trump announced China agreed to order 400–450 GE Aerospace jet engines and 200 Boeing jets, with up to 750 additional planes 'if they do a good job,' plus 'billions of dollars' in soybeans.
- Congress has bipartisan support for a $14 billion arms sale to Taiwan, but Trump has been ambiguous, telling Bret Baier, 'I may do it. I may not do it.'
- Inflation spiked to 3.8% last month with the national gas average at $4.52, even as Trump told reporters he does 'not even a little bit' think about Americans' financial situation when dealing with Iran, then doubled down.
Why it matters: Sunday's guests — USTR Greer and Taiwan Ambassador Yui — will have to defend both the China summit's thin deliverables and Trump's stated indifference to $4.52 gas and 3.8% inflation. The $14 billion Taiwan arms sale is now a flashpoint: bipartisan lawmakers want it, Trump won't commit, and China just put the entire bilateral relationship on the line over the issue.
