Trump-Xi Talks Are Underway in Beijing

Welcome to the Daily News Brief, CFR’s flagship morning newsletter summarizing the top global news and analysis of the day. 

Trump and Xi hailed the potential for a positive turn in relations during talks in Beijing today—though each side emphasized different points afterward. Xi said Taiwan is the most important issue in bilateral relations and could lead to conflict if mishandled, according to China’s foreign ministry. The White House readout did not mention Taiwan, but instead emphasized cooperation on trade and ending the Iran war. Xi said the two countries should be “partners, not adversaries,” while Trump called the talks “extremely positive and productive.” 

On Taiwan, Trump declined to answer a reporter’s question about whether he and Xi had discussed the matter. Xi warned that the United States should handle the issue of Taiwan “carefully” and that failure to do so could lead the U.S.-China relationship into “a very dangerous situation.” A Taiwanese government spokesperson said the Trump-Xi meeting had produced no surprises.

On trade, the White House said the two sides discussed how to expand access for U.S. businesses in China and increase Chinese investment in the United States. Nvidia CEO Jensen Huang and Tesla and SpaceX CEO Elon Musk both told reporters the meetings so far were positive. More specific announcements are expected later in the trip.  

On Iran, the White House said China opposed charging tolls in the Strait of Hormuz, expressed interest in buying more U.S. oil, and agreed that Iran can never have a nuclear weapon. China’s readout merely said that the two sides discussed the Middle East. The talks come as the Washington Post reported today that a U.S. intelligence report assesses that the Iran war is weakening Washington’s strategic edge against Beijing. A Pentagon spokesperson said that any such claims were “fundamentally false.”

“The summit is unlikely to alter the character and course of the U.S.-China relationship long-term. It is about managing for stability, not solving outstanding concerns like China’s imbalanced economic model. That said, the world is a safer place when its two largest economies and most powerful countries are at least on speaking terms.”

—CFR President Michael Froman on X

Warsh confirmed to lead Fed. The U.S. Senate confirmed Kevin Warsh as chairman of the Federal Reserve yesterday in a 54-45 vote primarily along party lines. It was the most partisan confirmation for the position in history, highlighting Democratic skepticism of Warsh’s pledge to operate independently from Trump. Warsh has suggested implementing changes at the Fed, such as shrinking its balance sheet. 

Surging global EV sales. EV sales in Europe rose 27 percent last month compared to the same period last year, while sales outside of China, Europe, and North America more than doubled, according to Benchmark Mineral Intelligence. The sales appear to be driven by the rising cost of gasoline, analysts said. Gas prices have risen more slowly in the United States, which saw a slight decrease in new EV sales in April—but an increase in used EV sales.

Israel-UAE clash on report of visit. The UAE rejected an assertion by Israeli Prime Minister Benjamin Netanyahu’s office yesterday that Netanyahu had made a covert visit to the UAE during the Iran war. Underscoring the topic’s sensitivity, Iranian Foreign Minister Abbas Araghchi suggested on social media that Tehran’s security services already knew of Netanyahu’s visit and called collusion with Israel against Iran “unforgivable.”  

Protest in Cuba. Hundreds of people demonstrated against power blackouts in multiple neighborhoods across Havana yesterday. Earlier in the day, Cuba’s energy minister said the country had completely run out of diesel and fuel oil. Cuba’s crisis worsened this year when the United States threatened to penalize any country sending fuel to the island. Cuba’s president blamed the United States for the blackouts, calling its fuel restrictions a “genocidal energy blockade” in a social media post. The U.S. State Department said yesterday that Washington has offered $100 million in aid to the island but Havana will not accept it. 

Russian attacks across Ukraine. Russia has launched more than 1,560 drones and 56 missiles across Ukraine since yesterday morning and killed at least eleven people, Ukrainian officials said today. Russia said Ukraine attacked three of its industrial facilities. The fighting followed the end of a three-day ceasefire over the past weekend. Russia’s barrage reached as far west as Ukraine’s border with Slovakia, prompting Slovakia to close its land border crossing.

U.S. drops visa bond for World Cup. World Cup spectators from fifty countries will no longer be required to submit $15,000 in bond money in order to enter the United States if they hold valid match tickets, a U.S. consular affairs official said yesterday. Trump introduced the bond policy last year, saying it was meant to reduce visa overstays. 

War powers vote. For the seventh time since the start of the Iran war, a motion to limit Trump’s war powers failed in the U.S. Senate yesterday. The measure failed by only one vote, after Sen. Lisa Murkowski (R-AK) joined Democrats and two other Republican senators for the first time to support limiting Trump’s powers. Two other Republican senators have also supported previous war powers resolutions. 

Shots in Philippine senate. Gunshots were heard in the country’s senate yesterday after a senator and ally of jailed former President Rodrigo Duterte said police were planning to arrest him as part of an International Criminal Court probe. Sen. Ronald Dela Rosa had been hiding in the Senate for days and called on social media for his supporters to help him resist the arrest. He left the senate without being detained, the senate president said.