U.S. President Donald Trump to Meet Chinese President Xi Jinping Amid Escalating Trade Tensions

U.S. President Donald Trump is scheduled to meet Chinese President Xi Jinping in South Korea at the end of October 2025 or early November 2025, amid rising trade tensions between the world’s two largest economies. The meeting has attracted global attention as it is expected to address critical issues such as import tariffs, the export of strategic materials, and the stability of global supply chains.

Rising Trade Frictions

Over the past few weeks, trade relations between Washington and Beijing have heated up once again. The United States has threatened to impose tariffs of up to 100% on several Chinese products, while China has tightened export controls on rare-earth elements, which are vital components for the global technology and defense industries. The White House confirmed that President Trump’s Asia tour will begin in Malaysia and Japan before heading to South Korea for a bilateral meeting with President Xi. The agenda is set to take place ahead of the 2025 APEC Summit, where world leaders will discuss the future of global trade amid increasingly complex geopolitical dynamics.

Key Agenda and Expected Issues

1. Tariffs and Strategic Exports
President Trump is reportedly planning to pressure China with a threat of tariffs as high as 155% if a trade agreement fails to materialize. The move is viewed as an effort to strengthen the U.S. negotiating position, given the country’s persistent trade deficit.

2. Critical Supply Chain Stability
China continues to expand its export control policies on essential materials such as rare-earth minerals. This policy has raised global concerns as it could disrupt industries dependent on these key resources.

3. Global Economic Stability
Asian markets have responded positively to the news of the planned meeting. Several regional stock indices have risen, driven by optimism that the discussions could ease ongoing trade tensions between the two superpowers.

Challenges and Potential Risks

Despite the official announcement, analysts believe that the outcome of the meeting remains uncertain.

Uncertainty of an Agreement, Historical precedent shows that negotiations between the U.S. and China often end with broad declarations rather than concrete trade agreements.

Consequences of a Failed Dialogue. If the talks end without progress, the threat of tariff wars and export restrictions could trigger global supply chain disruptions, rising inflation, and turmoil across international financial markets.

China’s Cautious Strategy

Beijing appears to be adopting a strategic and restrained approach, resisting external pressure while preparing for long-term measures in what has been described as a “new form of trade war.”

As part of the global supply chain and a member of ASEAN, Indonesia may directly feel the impact of any shifts in trade policy between the U.S. and China. Trump’s planned visits to Malaysia and Japan before his bilateral meeting in South Korea suggest that Southeast and East Asia will become the focal points of a new wave of economic diplomacy. This development could significantly influence investment strategies and trade flows across the region. For Indonesian businesses and investors, the meeting’s outcome may determine future strategic directions whether new risks will arise from escalating trade tensions, or new opportunities will emerge for market diversification and investment expansion.

A Defining Moment in U.S.–China Trade Relations

The Trump–Xi meeting in South Korea at the end of October marks a critical juncture in the ongoing trade relationship between the United States and China. With a heavy agenda covering import tariffs, strategic exports, and global economic stability, the world is watching closely to see whether the dialogue will yield tangible breakthroughs or remain diplomatic rhetoric.

For Indonesia and the broader Southeast Asian region, the results of this meeting warrant serious attention. Any decisions made by the two superpowers could reshape the direction of global economic policy, presenting both new opportunities and significant challenges for regional stability.