Superpower Summits Mask Deep Rivalry Between Washington and Beijing

Despite four recent high-level summits held across Beijing, Washington, Shenzhen, and Miami in just over six months, the core strategic rivalry between the United States and China remains completely unchanged. Talk of a new global "G-2" partnership ignores the reality that both nations are locked in an all-pervasive competition for global dominance in the 21st century. This contest spans the military, economy, technology, and foreign policy, alongside an underlying ideological struggle between democratic capitalism and China's authoritarian model.

Managing Tensions

To prevent full-scale economic warfare after steep tariffs were imposed last year, U.S. Treasury Secretary Scott Bessent and Chinese Vice Premier He Lifeng set up a regular political channel. Their teams have met eight times, meeting roughly every two months to stabilise relations and step back from a trade conflict. China desperately needs domestic economic stability as it heads toward the 21st Party Congress next year, where President Xi Jinping aims to secure a record fourth term as General Secretary surrounded by personal loyalists.

Economic Pressures

China faces severe domestic economic hurdles, including poor private domestic consumption, a six-year recession in private residential construction, and flat-lining private investment. This leaves public techno-industrial strategies and net exports as the main drivers of growth, making a resumption of U.S. tariffs a major threat. Although the 12-month Busan Tariff Truce agreed to last October has been extended by two months, it remains vulnerable if disputes arise over U.S. agricultural exports or critical minerals and rare earths trade.

Context

Trade disputes and strategic rivalries between major global superpowers are typically driven by domestic economic needs and long-term security goals rather than temporary diplomatic summits. High tariffs and technology controls remain common tools used by governments to protect local industries and maintain technological advantages in critical sectors like artificial intelligence.