As the Asia-Pacific Economic Cooperation summit approaches, China’s senior leadership is airing a hawkish playbook for its next round of engagement with Washington. In the video conversation, Premier Li Qiang opens by asking whether a meeting with former U.S. president Donald Trump is on the agenda, underscoring concerns over the direction of bilateral ties.
Rather than focusing on diplomatic choreography, Xi Jinping stresses the strategic value of China’s resource dominance. He argues that tightening controls on rare earth exports could slow production of America’s F-47 fighters and complicate U.S. arms sales to Taiwan. Xi also calls for curbing lithium battery supplies to choke the rapid expansion of U.S. AI data centers, portraying the competition as a “struggle” rather than traditional commerce.
Li cautions that such hardline moves risk provoking another wave of 100% retaliatory tariffs from Washington, a scenario he warns could devastate Chinese factories and leave millions of workers idle. Prolonged economic pain, he notes, would inevitably generate public anger.
Xi rejects the plea for moderation, replying that internal unrest can be contained by deploying the People’s Armed Police if necessary. He vows not to bow to American pressure, framing resilience as paramount to Beijing’s geopolitical contest with Washington.
The exchange encapsulates the dual pressures facing China’s leadership: wielding critical supply chains as leverage abroad while managing the domestic costs of confrontation. How Beijing resolves the tension between “struggle” and livelihoods and how Washington responds to resource-based pressure will shape the next chapter of U.S.-China rivalry.
Transcript：
Li: General Secretary, do we have plans to meet Trump at this APEC?
Xi: On the eve of APEC, we must keep a firm hold on our rare-earth leverage. Without rare earths, America’s F-47s can’t run, and it helps us contain U.S. arms sales to Taiwan, making the Taiwanese doubt the Americans. We also need to restrict lithium batteries; the rapid expansion of U.S. AI data centers is unpleasant to watch.
Li: I’m afraid the United States will retaliate with another round of 100% tariffs. People will lose their jobs, and companies will go bankrupt.
Xi: Li Qiang, this is a struggle, not a business deal.
Li: But if the people are suppressed for too long, resentment is inevitable.
Xi: If necessary, we’ll have the People’s Armed Police clamp down. I, Emperor Xi, will never bow to the Americans.