Published Time 09-19-2025, 16:00 EDT

U.S. President Donald Trump and Chinese President Xi Jinping are scheduled to hold a high-stakes call on Friday, with TikTok’s future in the United States and broader U.S.-China trade issues on the agenda.

The discussion is expected to finalize key terms of a deal that would allow the social media platform to continue operating in America while also signaling whether the two leaders might meet in person to negotiate a wider trade settlement. Analysts say the outcome could mark a turning point in the world’s most consequential bilateral relationship.

Another Call in a Strained Relationship

The scheduled conversation marks Trump’s second call with Xi since returning to the White House. In recent months, tensions have escalated after the U.S. imposed steep tariffs on Chinese goods, prompting retaliatory measures from Beijing.

“We’re very close to deals on all of it,” Trump told reporters Thursday, referencing both TikTok negotiations and broader trade issues. While he emphasized his “very good” relationship with Xi, Trump also suggested that China’s economic ties to Russia could complicate progress, particularly over Beijing’s purchase of Russian oil during the ongoing war in Ukraine.

The Chinese Embassy in Washington declined to confirm details of the planned call but stressed the importance of dialogue. “Heads-of-state diplomacy plays an irreplaceable role in providing strategic guidance for China-U.S. relations,” embassy spokesperson Liu Pengyu said in a statement.

Focus on the TikTok Agreement

At the center of the discussions is TikTok, owned by Chinese parent company ByteDance. U.S. officials have raised concerns that Chinese data laws could allow government access to American user information, while also citing national security risks tied to the app’s algorithm.

Treasury Secretary Scott Bessent said earlier this week that negotiators had reached a framework agreement, but final approval would rest with Trump and Xi. Trump, who has repeatedly extended deadlines for a TikTok restructuring, described the platform as having “tremendous value” that the U.S. effectively controls by requiring government approval.

Chinese officials announced that both sides had agreed on measures covering intellectual property rights and U.S. user data protections. According to Beijing, the deal includes entrusting a partner organization with oversight of American data security and content moderation.

Rep. Raja Krishnamoorthi, ranking Democrat on the House Select Committee on the Chinese Communist Party, cautioned that oversight must be watertight:

“TikTok’s data and algorithm must be truly in American hands to comply with the law,” he said.

Trade Tensions Beyond TikTok

TikTok is only one element in a complex and unresolved trade relationship. Since May, U.S. and Chinese negotiators have held multiple rounds of talks, pausing tariff escalations and easing some export controls. Yet many disagreements remain.

Ali Wyne, senior research and advocacy adviser on U.S.-China issues at the International Crisis Group, said both leaders are likely to frame the call in ways that project strength.

“Trump will likely seek to make it appear that the United States has the upper hand in trade negotiations,” Wyne explained. “Xi will likely seek to underscore China’s economic leverage and warn that continued progress will hinge on easing U.S. tariffs, sanctions, and export controls.”

Key unresolved issues include U.S. technology export restrictions, fentanyl-related chemical flows, and Chinese purchases of American agricultural products.

Impact on U.S. Farmers

The ongoing trade war has had a direct economic impact on American farmers, many of whom have seen exports to China collapse. From January through July this year, U.S. farm exports to China dropped by 53% compared with the same period in 2024, with sorghum sales down a staggering 97%.

Josh Gackle, chairman of the American Soybean Association, said producers remain hopeful but increasingly impatient.

“There’s still time. It’s encouraging that the two countries continue to talk,” Gackle noted. “I think there’s frustration growing at the farmer level that they haven’t been able to reach a deal yet.”

China is the world’s largest buyer of U.S. soybeans, and its pause in purchases has left American producers uncertain heading into the new harvest season.

Analysts See Potential for Summit

Experts believe Friday’s call could also set the stage for a broader summit between Trump and Xi later this year. Sun Yun, director of the China Program at the Washington-based Stimson Center, said both sides are motivated to reach a leadership-level agreement.

“Both sides have a strong desire for the summit to happen,” Sun said. “The details lie in the trade deal and what can be achieved for both sides.”

Whether a breakthrough occurs may depend on how the leaders balance domestic political considerations with the long-term need for stability in bilateral relations. For Trump, demonstrating control over TikTok and leverage in trade talks plays into his political brand. For Xi, maintaining China’s economic resilience while reducing tariff burdens remains a priority.

Looking Ahead

Friday’s call carries implications well beyond TikTok. It represents an opportunity for Washington and Beijing to stabilize relations after years of volatility while addressing digital security, trade imbalances, and agricultural disputes.

If successful, the discussions could pave the way for a leadership summit and gradual de-escalation of one of the world’s most critical rivalries. But without concrete progress, farmers, businesses, and tech companies on both sides of the Pacific may face continued uncertainty.

Source: AP News – Trump and Xi are set to discuss the TikTok deal and future of US-China relations

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President Donald Trump’s long-anticipated tariffs on Canada and Mexico officially took effect on Tuesday, igniting tensions in global markets and setting the stage for retaliatory measures from the U.S.’s North American neighbors.

New Tariffs and Global Reactions

Starting just after midnight, imports from both Canada and Mexico are now subject to 25% tariffs, with Canadian energy products facing a 10% duty. These measures are part of Trump’s broader trade strategy, which has already sparked significant global reactions.

Meanwhile, the Trump administration doubled the tariff on Chinese imports from 10% to 20% in February, prompting Beijing to retaliate on Tuesday with tariffs of up to 15% on a wide range of U.S. farm exports. Additionally, China expanded restrictions on about two dozen American companies, tightening controls and escalating tensions.

Canada Responds with $100 Billion in Retaliatory Tariffs

In response to the U.S. tariffs, Canadian Prime Minister Justin Trudeau announced a 25% tariff on $155 billion (Canadian) worth of American goods, beginning with an initial $30 billion worth of products. These retaliatory tariffs will remain in place until the U.S. rescinds its trade actions. Trudeau emphasized that Canada is committed to resolving the issue through ongoing discussions, but remains ready to implement further measures if necessary.

While Mexico did not immediately detail its retaliatory actions, it is expected to follow suit in some capacity. The escalating trade conflict has already begun to stir fears of higher inflation and the possibility of a full-scale trade war, as both countries and international markets prepare for a prolonged standoff.

Trump’s Trade Strategy: A Controversial Path to Prosperity

President Trump has been vocal about his belief that tariffs are a crucial tool for revitalizing the U.S. economy. He argued that imposing taxes on imports is the easiest path to national prosperity—despite warnings from mainstream economists about the long-term consequences. Trump said,
“It’s a very powerful weapon that politicians haven’t used because they were either dishonest, stupid, or paid off in some other form. And now we’re using them.”

The tariffs, initially set to take effect in February, were delayed by 30 days to allow further negotiations with Canada and Mexico. Trump has justified the tariffs as a means to combat drug trafficking and illegal immigration from both countries, although they have also been linked to a desire to address the U.S. trade imbalance. Trump has stated the tariffs could be reduced if the trade deficit closes, though this is unlikely to be resolved quickly.

Unpredictability and Economic Volatility

The U.S. tariffs have created a sense of economic uncertainty, with many wondering what moves Trump will make next. Michael House, co-chair of the international trade practice at the law firm Perkins Coie, described the situation as “chaotic” and “unpredictable.” He added,
“We don’t know, in fact, what the president will do.”

The global economy is now facing a fog of uncertainty, as retaliatory tariffs from Canada and China threaten to worsen the situation. Even after Trump’s announcement, Canadian officials remained in contact with their U.S. counterparts, signaling that diplomatic talks are ongoing despite the heightened tensions.

Domestic Reactions and Growing Concerns

The new tariffs have sparked concern among both Democratic and Republican lawmakers in the U.S., particularly those with close ties to industries that will be directly impacted. Senator Susan Collins of Maine expressed concern about how the tariffs could affect Maine’s economy, given the state’s reliance on Canadian processing for products like lobsters and blueberries.

Despite these concerns, Trump has continued to defend his approach, claiming that inflation caused by tariffs would not be as severe as some economists suggest. He pointed to recent business investments, such as the $100 billion commitment from Taiwan Semiconductor Manufacturing Company to produce chips in the U.S., as evidence that his strategy is working.

Impact on U.S. Industries

While some businesses welcome the potential for more domestic manufacturing, others are sounding alarms. Greg Ahearn, CEO of The Toy Association, warned that the 20% tariffs on Chinese goods could be “crippling” for the toy industry, which relies heavily on imports from China. Ahearn noted the sophisticated manufacturing processes involved in producing toys and emphasized that it would take years, not months, for U.S. factories to catch up.

“That can’t be replicated overnight,” Ahearn cautioned, highlighting the challenge of reshoring complex production processes that have been built up over decades.

The Road Ahead: Tit-for-Tat Escalation

As the situation develops, Damon Pike, a trade expert at BDO, suggested the risk of further escalation is high. Both Canada and the European Union have their own lists of potential retaliatory measures ready, setting the stage for a tit-for-tat battle that could drag on for months or years.

With rising tensions and the threat of additional tariffs on industries like automobiles and pharmaceuticals, the world economy faces a period of heightened volatility and uncertainty as President Trump continues to push his trade agenda.

Source

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