Trump And Xi Jinping Meeting In Seoul – A Trade War Truce Or The World’s Next Economic Earthquake?

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Washington: Eyes across the world are locked on the upcoming meeting between US President Donald Trump and Chinese President Xi Jinping, a diplomatic clash of giants that will unfold on October 30 during the Asia Pacific Economic Cooperation summit in South Korea. Both governments waited months for the perfect stage, and Washington has now confirmed that the long-anticipated encounter is finally happening. Beijing watches every signal, decoding every gesture from the White House.

This moment almost slipped away. Tensions kept rising as the world’s two biggest economies pressed into a contest with no brakes. China made the first dramatic move, placing strict limits on its rare-earth mineral exports under national security laws. These minerals power modern technology from smartphones to fighter jets, and China dominates nearly the entire supply chain.

Trump retaliated with shock value. He vowed to impose a 100 percent tariff on every product imported from China starting November, leaving no sector spared. It was a message meant to thunder across Beijing like a sonic boom.

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But there is still a hint of diplomacy behind the doors that cameras cannot see. Communication channels remain open. Advisers on both sides insist that room for “practical solutions” still exists. Private calls continue while public statements stay sharp.

Markets react like nervous animals, spooked by every word from Washington or Beijing. Trump wants a comprehensive agreement covering both tariffs and rare-earth restrictions. Chinese experts say Beijing refuses to bow before pressure. This is now a battle of nerves.

Strategists explain it as a duel of dominance. Trump’s inner circle believes that if China yields now, the United States shapes the rules of future relations forever.

China watchers respond that Xi, entering his 13th year in power, does not need a handshake photo to prove strength to his system.

China has also chosen its economic counterstrikes with precision. America’s soybean belt, a core base of Trump supporters, feels the sting as fields wait for buyers who never come. Shipments that once crossed the Pacific now travel to Brazil and Argentina, redrawing global trade routes overnight.

Despite heavy tariffs, China’s exporters keep shipping aggressively, supported by a weaker yuan. But its domestic challenges persist. Real-estate troubles loom. American brands like Apple and Nike race to diversify their production lines into India and Southeast Asia to hedge against further shocks.

Meanwhile, advanced technology restrictions from Washington block China’s access to critical chips, slowing its ambitions in next-generation computing. Beijing’s planners obsessively track every US policy shift, preparing countermoves before they arrive.

This diplomatic duel plays out on political and financial stages at once. Investors still remember how one tariff threat from Trump erased trillions in market value. China, with its tightly controlled economic system, distributes decisions from the centre outwards in rapid, disciplined waves.

Over recent years, China has embraced trade as a geopolitical weapon, wrapping the confrontation in patriotic messaging. The trade war is marketed domestically as a test of national courage.

US strategists warn that Beijing understands Trump’s personality perfectly: he respects strong adversaries until they cross a line, and then he retaliates without hesitation.

Trump’s own advisers hold powerful influence, able to rewrite policies mid-flight between capitals.

Diplomats in Seoul are preparing the physical and symbolic space for Trump and Xi. A handshake may happen. Early outlines of a deal might emerge. But underneath the smiles lie disagreements that no scripted statement can hide. A breakthrough this season is unlikely.

The world watches like spectators at a high-wire act. One misstep could trigger an economic storm. More than a meeting, this is a test of patience, power and pride. And the ultimate question lingers, unanswered: who will blink first?

Disclaimer : This story is auto aggregated by a computer programme and has not been created or edited by DOWNTHENEWS. Publisher: ZEE News