Xi-Biden meeting: Tariffs to Taiwan, what is affecting US-China relations as Trump approaches | Donald Trump News

US President Joe Biden and Chinese President Xi Jinping will meet on Saturday in what is expected to be their last face-to-face meeting of the Biden era as Beijing mounts a bid for Donald Trump's presidency in Washington.

The two leaders attended the two-day meeting of heads of state of the Asia Pacific Economic Cooperation group in Lima, Peru, which began on Friday. Saturday's meeting will be the third time the two have met in person since Biden took office.

The relationship between China and the US, the most powerful countries in the world, went from peace during Trump's first term as president, when he started a trade war with Beijing, using punitive tariffs.

But relations have become more strained in the last four years of the Biden administration, with bad points ranging from trade wars to TikTok. In 2023, Mexico surpassed China as the US's largest trading partner for the first time in 20 years as economic ties deteriorated.

Still, Biden wanted to maintain strong ties with Beijing. US National Security Adviser Jake Sullivan told reporters before the Lima meeting that Xi and Biden will discuss the transition to the Trump White House and the need to manage both sides well during that time.

During his election campaign this year, Trump threatened to slap a blanket tariff of 60 percent on all Chinese imports into the US.

Here's a snapshot of how US-China relations have soured under Biden — and what to expect under Trump 2.0:

Trade wars

Trump, when he first took office, started a trade war with China after his administration accused Beijing of 'unfair' trade practices that they said had contributed to a significant trade deficit in China's favor. Those practices, the US adheres to, include forced labor, intellectual property theft and unfairly low prices that hurt US producers. China has long denied these allegations.

Since January 2018, the Trump administration has imposed tariffs on Chinese imports ranging from 10 to 25 percent under Section 301 of the Trade Act. Beijing accused Washington of 'nationalist protectionism' and retaliated with higher tariffs on US imports.

However, near the end of Trump's first term, the two countries agreed on a deal that would see Washington lower tariffs on some goods. China has pledged to improve intellectual property rights and buy some $200bn worth of US goods above 2017 levels by the end of 2021. 2022 said that China bought goods worth only 58 percent of the amount it committed to buy.

Biden maintained Trump-era tariffs during his tenure and allowed Chinese companies to cooperate with Russia, following Russia's invasion of Ukraine.

In May 2024, the Biden administration revised the Section 301 restrictions and imposed higher tariffs of between 25 to 100 percent on some imports from China. Electric vehicles and solar cells were among the goods affected.

President Biden also tightened export controls on semiconductor technology critical to developing artificial intelligence and threatened to extend sanctions on Chinese banks that do business with Russia. Taxes in China currently account for $77bn of the $79bn the US government receives in taxes, according to the Tax Foundation, a Washington-based watchdog. By 2022, the US trade deficit with China stood at $383bn.

In defense of Taiwan

The standoff between the two countries over self-governing Taiwan intensified under Biden. While China claims the region as its territory, the US is a strong ally of Taiwan and supports the island to counter Beijing's growing military power in the Asia Pacific.

Beijing does not rule out using force to conquer Taiwan. Often, the Chinese military conducts exercises with warships and aircraft near Taiwan, which raises the alarm. In the past two years, that test has intensified, especially after high-ranking American officials such as then-Speaker Nancy Pelosi visited Taipei in 2022.

In its latest move, China launched the Joint Sword-2024B exercises on October 14. Beijing said the military drills are “a strong warning against the separatist actions of the 'Taiwan Independence' forces”.

“We see that the world has many bright spots going on and maybe Beijing sees this as an opportunity to test their will and see if the world's support for Taiwan is strong enough,” Kuang-shun Yang, co-founder of the Taipei-based think tank US-Taiwan Watch, he told Al Jazeera, covering the Russia-Ukraine war, and conflicts in the Middle East.

It is widely believed that a Chinese attack could prompt a US military response, although Washington's policy of “no ambiguity” keeps both sides guessing. Taiwan's President William Lai Ching-te, however, vowed to “resist being taken over or invaded” by Beijing.

The US is Taiwan's biggest arms supplier. In late October this year, the US angered Beijing when it approved a $2bn arms sales package to Taiwan, including advanced surface-to-air missile systems and radars. China pledged to take “all necessary measures” to assert its sovereignty over the disputed region.

Tensions previously flared directly between Washington and Beijing in February 2023 when Biden ordered the shooting down of a Chinese “spy” balloon that was allegedly armed with drones that crossed US airspace.

Is TikTok in the US?

In April, Biden signed a law giving ByteDance – the Chinese owner of the popular TikTok app – nine months to divest its stake in the company or face a US ban for allegedly endangering national security. The sales deadline – January 19 – is one day before Trump's inauguration on January 20.

Successive US administrations, including the first Trump administration, have treated the program with dishonesty. Authorities cited growing concerns that data from TikTok's 170 million American users could be seized by China for spying. Some Federal Bureau of Intelligence officials have even warned that Beijing could influence US users by manipulating TikTok's highly efficient algorithm that records the video content users are exposed to.

TikTok denies those claims. CEO Shou Zi Chew, who was impeached by US lawmakers in Congress in March 2023, insisted that “Bytedance is not an agent of China”. The app is now restricted to government-issued phones in the US, United Kingdom and Canada.

The Trump administration was the first to attempt a ban on TikTok in 2020, under an executive order. However, the company was able to obtain an order from a Washington judge that declared such a ban illegal. Experts say TikTok could seek an injunction again, and that the legal process could take several years.

China has maintained that it is against app sales.

What can you expect under Trump?

A second Trump term could see the trade war escalate, economists predict. His top cabinet picks include several officials known for taking a tough stance toward Beijing, including Florida Senator Marco Rubio. The congressman, whom Trump has named as his incoming secretary of state, is under sanctions from Beijing for his outspoken criticism of China's policies.

On the other hand, Trump's cabinet includes X and Tesla owner Elon Musk, who – at least while wearing his entrepreneur hat – has not been hawkish towards China.

Although the president-elect has long argued that the US-China trade imbalance can only be remedied by imposing heavy tariffs on Chinese goods, analysts note that his initial tariffs did not close the gap.

The tariffs, which were intended to encourage American manufacturers in China to return to the country and increase production, actually caused some to switch to cheaper countries like Bangladesh or Vietnam instead, according to a 2021 finding by QIMA, a Hong Kong auditing firm.

Meanwhile, Trump's plans for Taiwan remain unclear. In his first term, he spoke directly to former Taiwan President Tsai Ing-wen, drawing Beijing's wrath. Traditionally, the US avoids leader-to-leader contact. The Trump administration has also increased arms sales to the island.

However, during this year's election campaign, Trump, while speaking on the Joe Rogan podcast, accused Taiwan of stealing American chip businesses, pointing to US reliance on the island's semiconductors. He also criticized Taiwan for not paying the US for “protection”. Analysts say those comments may indicate a strained relationship.

As for TikTok, Trump can show that he is flexible, even though he initially led the company on the charge. During the campaigns this year, he promised to “save TikTok” – but did not reveal the details. Trump says blocking TikTok will empower Facebook, which he calls “the enemy of the people.”

Experts say Trump could pressure US authorities to change the ban on Biden or drop it. Technology law expert Anupam Chander told Al Jazeera that Trump could again ask the US Congress to give him the power to renegotiate with the company.

“I think a lot of politicians would like TikTok not to be blacked out in the US in January. After all, there are approximately 170 million Americans who continue to use this application, even if the government has told them that it is a threat to national security,” said Chander.