Trump-Xi meeting: Why China's self-sufficiency changes the calculus

A worker is seen on a container truck at the Port of Ningbo-Zhoushan in Ningbo, in China's eastern Zhejiang Province on September 22, 2026.Hector Retamal | Afp | Getty ImagesBEIJING — The trade deficit that escalated tensions between China and the U.S. in recent years has yet to shrink significantly, and the world's second-largest economy faces deep challenges. But China's efforts to build up self-sufficiency have reduced the threat to its domestic market from global trade developments.U.S. President Donald Trump and Chinese President Xi Jinping are expected to meet this week for their second in-person summit of the year. U.S. concerns about artificial intelligence have gained prominence in the days ahead of the meeting. But the best that businesses are hoping for is an extension of a trade truce reached last fall. Even then, tariffs have done little to dent America's appetite for Chinese goods. While an escalation in trade tensions last April briefly sent the U.S. trade deficit with China to its lowest level since 2017, surging demand for AI-related parts have helped send it higher again so far this year, according to China Customs data accessed through Wind Information.And even a...