Dear Focus reader,

This week, Presidents Xi Jinping and Donald Trump held a closely watched phone call aimed at easing tensions between the world's two largest economies. Trump quickly cast the exchange as a sign of renewed momentum, calling the conversation "excellent," noting that Beijing was considering a significant increase in purchases of U.S. soybeans— highlighting potential trade gains and bolstering expectations for the upcoming summit in Beijing, slated for April. He also said the call covered broader trade issues, Russia's war in Ukraine, and developments in Iran.

Beijing's response was more measured. Chinese state media emphasized Taiwan as the central issue discussed, with Xi urging the U.S. to handle arms sales to the island with "prudence" and reaffirming China's sovereignty claims. While both leaders expressed a desire to maintain stable ties, the differing readouts underscored each side's priorities: Washington focused on trade and economic engagement, while Beijing highlighted security concerns, even as channels of dialogue remain open. On the same day, Xi also spoke with Russian President Vladimir Putin, underscoring Beijing's efforts to balance ties with both nuclear powers amid mounting global uncertainties.

Following the call, despite efforts to maintain stable ties, the U.S. accused China of conducting a secret nuclear test in 2020 and called for a broader nuclear weapons agreement that would include both China and Russia. The allegation came a day after the last remaining arms control treaty between Washington and Moscow expired, leaving the world's largest nuclear powers without formal limits on their arsenals for the first time in decades.

Beijing dismissed the U.S. allegations, reaffirming its "no first use" nuclear policy and asserting that it had always acted responsibly on nuclear matters. Chinese officials described the claims as exaggerated and cautioned against what they called "Cold War thinking." Learn more on international relations by exploring our latest Focus content, including articles on Chinese-UK diplomacy, Washington's foreign policy, and more.