Description: Chinese Foreign Ministry office announced the visit of President Xi Jinping to the country’s main international business hub in the upcoming days. The visit comes in a period of raging trade war with the US as the two largest global economies battle for geopolitical and geostrategic dominance. Shanghai pertains to China’s Yangtze River Economic Belt alongside 10 other provinces which account for more than 40% of China’s GDP. Xi’s visit to Shanghai which also hosts Tesla’s largest factory was labeled as a show of force move in order to showcase Chinese economic independence and resilience in face of tariff adversity. Recent speculations arose around the loosening of bilateral tariffs, however, Chinese economy officials have stated that no negotiations were held and the reported phone conversation between the US and Chinese presidents never happened. The Vice Chair of China’s National Development and Reform Commission, Zhao Chenxin supported Xi’s visit by stating that China could endure without the majority of US imports including energy and agricultural goods.
Impact: China continues to consolidate and differentiate their geoeconomic and geostrategic portfolio as part of a long – term strategy to endure the global economic impact of Trump’s tariff policy. Xi’s visit to the country’s largest international business hub comes at a sensitive time of overgrowing pressure around speculations that arose from the US regarding potential negotiations. Projections have flagged the US to be currently losing the trade war through reinforcing a conservative and isolationistic foreign policy, with a plethora of countries redirecting their domestic and international potential towards a variety of markets. China’s attempts to ramp up domestic production have also met stiff demand opposition with the country having to reposition their geopolitical strategy towards their strongest side personified in exportation of goods to foreign markets.