Joe Biden's Meeting With Xi Jinping Could Reduce Uncertainty for US-China Businesses, Analysts Say
By Jace Dela Cruz
Nov 22, 2023 01:50 AM EST
Nov 22, 2023 01:50 AM EST
US President Joe Biden's recent meeting with Chinese President Xi Jinping in San Francisco is seen by analysts as establishing a baseline in the US-China relationship, offering potential benefits for businesses by reducing uncertainties.
Biden and Xi met for the first time in nearly a year on the sidelines of the Asia-Pacific Economic Cooperation conference last week.
According to CNBC, Wang Dong, the executive director of the Institute for Global Cooperation and Understanding at Peking University, highlighted a consensus emerging from the summit, signaling both countries' commitment to recalibrate their relationship. Dong suggested that this holds significance for the two nations and the global economy.
"What you get from this summit is a very clear signal the two countries, they are committed to what we can call recouple, in a way, on the basis of reciprocity and mutual respect... I think this is very important for both countries and indeed for the global economy as well," he noted.
The meeting focused on exploring areas of cooperation between the US and China. Jake Colvin, President of the National Foreign Trade Council, expressed optimism that the new tone set by the leaders could lead to a more stable economic relationship, potentially easing tariff tensions.
While Biden maintained firmness on export controls during discussions with Xi, the White House's readout indicated a shared recognition of the necessity to address risks associated with advanced AI systems, promoting further talks between the US and China.
The agreement to restore military-to-military talks, which paused for over a year, is also seen as a positive development, indicating a commitment to enhancing communication between the two nations.
It is worth noting that the Biden administration has been cautious about US investment in Chinese companies involved in advanced tech with potential military applications, as seen with the restrictions on cutting-edge chips. However, officials clarified that the majority of trade and consumer-related business remains unaffected, CNBC reported.
According to the White House's readout, the two leaders also addressed advanced AI risks. They also exchanged views on regional challenges, supporting a free Indo-Pacific, defending allies, and addressing human rights concerns.
Biden reaffirmed the one-China policy on Taiwan and raised issues of unfair trade practices. Additionally, they agreed to follow up on their discussions in San Francisco, but with no specified date.
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