Blinken Visits Shanghai as Congress Passes $95 Billion Foreign Aid Bill

On Wednesday, U.S. Secretary of State Antony Blinken arrived in Shanghai to kick off a new round of visits to China. On the same day, the U.S. Congress passed a $95 billion foreign aid bill, including assistance to Taiwan and addressing the potential ban on TikTok.

Blinken is reported to have meetings with Chinese business leaders in Shanghai before heading to Beijing on Friday for talks with Chinese Foreign Minister Wang Yi, with a possible meeting with Chinese President Xi Jinping on the agenda.

This visit marks the latest high-level engagement between the U.S. and China, aiming to ease tensions that arose last year due to various issues from global trade to military communication. While it is a step towards improving U.S.-China relations, significant challenges persist.

The U.S. is pressing China to halt support for Russia’s defense industry, amid concerns over Chinese companies contributing to Russia’s efforts in Ukraine. Washington is prepared to take action against Chinese firms deemed a threat to U.S. and European security.

Despite discussions about potential sanctions on Chinese banks related to their support for Russia, no concrete plans have been set in motion by U.S. officials. Sanctioning major Chinese banks could have far-reaching implications on the global economy and U.S.-China relations.

A spokesperson from China’s Foreign Ministry mentioned a stabilizing trend in U.S.-China relations since the meeting between President Biden and President Xi in November, but criticized Washington’s strategic containment of China and tarnishing China’s image.

As Blinken visits China, the U.S. Congress passed a $95 billion foreign aid bill, which includes funding for Taiwan, a move supported by President Biden as a reinforcement of American leadership promoting democracy and freedom globally.

The aid bill coincides with Taiwan’s President-elect Lai Ching-te set to take office in less than a month, continuing the stance against Chinese unification efforts previously held by outgoing President Tsai Ing-wen.

Amid heightened tensions in the region, it is emphasized by U.S. officials to avoid provocations before Lai’s inauguration, fostering restraint and conveying a message of moderation moving forward.

Alongside addressing economic issues, the aid bill includes provisions targeting Chinese company ByteDance to sell TikTok, underscoring Washington’s efforts to counter Chinese influence in the technology sector.

Human rights concerns, including the suppression of Muslims in China’s Xinjiang region, are expected to be raised by Blinken as part of broader U.S. efforts to engage in dialogue on various fronts.

In a broader effort to maintain communication channels, other U.S. officials have recently met or engaged in discussions with Chinese counterparts. Treasury Secretary Janet Yellen visited Beijing and Guangzhou, Defense Secretary Lloyd Austin held the first call in 18 months with his Chinese counterpart, and National Security Advisor Jake Sullivan regularly interacts with Chinese Foreign Minister Wang Yi to manage bilateral competition responsibly.