Trump and Xi's Thorny Chat: Taiwan, Tariffs, and Tensions

• Trump and Xi Jinping discussed key issues including Taiwan, Ukraine, and trade during a phone call.
• China emphasized Taiwan as a critical issue, urging the U.S. to handle arms sales with caution.
• Trade deals, including increased soybean purchases and potential Boeing aircraft orders, are on the table.
• Geopolitical tensions around Iran and Venezuela also featured in the discussions.

A King's Eye on the Eastern Dragon

As Ragnar Lothbrok, I've navigated rough seas and even rougher negotiations. Hearing about Trump's "long and thorough call" with Xi Jinping reminds me of the time I negotiated with King Ecbert. Always a dance, isn't it? One side praises Odin, the other, Thor, but both want the best deal. This talk focused on Iran, Ukraine, and China's appetite for energy, sounds like a feast for the gods, or at least for economists.

The Dragon's Red Line: Taiwan

But what truly catches my ear is the matter of Taiwan. The Chinese, much like the Seaxons defending their lands, see Taiwan as part of their territory. Washington's arms sales, a hefty $11.15 billion, are like raising a shield against the dragon's fire. It's a delicate balance. China is reminding Washington "where the red lines are," while trying to avoid disrupting Trump's travel plans. Speaking of disruption and power, you can read about further examples of it with the article Trump's Truth Social Snafu Apes, Memes and Election Nightmares. The parallels are striking, aren't they?

Trading Blows: Soybeans and Sky Giants

Trump, ever the pragmatist, focused on trade. More American soybeans for the Chinese, a promise of 20 million tons this season, 25 million next. And whispers of a massive deal involving Boeing aircraft, perhaps 500 strong. Such deals are like raiding a monastery, profitable but fraught with peril. As Neo Wang from Evercore ISI puts it, Trump's "transaction-oriented" approach is a gift to Beijing. A gift with strings attached, no doubt.

Missing Pieces: Earth and Venezuelan Oil

Yet, some stones were left unturned. Rare earth minerals, crucial for modern warfare and industry, were absent from the conversation. Last year, Beijing used its dominance in these minerals as leverage, much like I used my longships to control the seas. And the simmering tensions around Venezuela, with Trump's capture of Maduro, also went unmentioned. Perhaps some battles are best fought in silence.

Iran and the Shadows of Geopolitics

The call came hot on the heels of Xi's chat with Putin. These leaders seek to align their positions on global flashpoints, including Iran, Venezuela, and Cuba. A united front against the West, perhaps? Trump's threats against Iran, his naval task force sailing into the region – it all smacks of impending conflict. As they say, "the sea is always hungry," and so are empires.

A Carrot and Stick for the Dragon

Reva Goujon of Rhodium Group sees Trump employing a "carrot and stick approach" with China. He challenges Russia's oil exports while seeking Beijing's help to bring Putin to the negotiating table. Like navigating a fjord, it requires cunning, strength, and a good sense of the currents. Only time will tell if Trump can steer these turbulent waters towards peace, or if we're destined for another long winter of war.