U.S. President Donald Trump’s monthslong trade war — and his polarizing push for tariff and trade deals — has strained relations with Washington’s Asia Pacific partners, with a new August 1 deadline to reach deals fast approaching.
Beijing is looking to exploit these divisions, reeling in aggrieved American allies and pitching itself as a relatively reliable trading and investment partner. In recent weeks, China has doubled down on bilateral and multilateral diplomacy, wining and dining leaders and diplomats across the Indo-Pacific.
Australia’s Albanese meets Xi
Many countries are keen to expand trade ties with China, but most are reluctant to lock arms with the country on security and defence matters.
Australian Prime Minister Anthony Albanese is one such leader caught in the middle. He travelled to Shanghai, Beijing, and Chengdu this week as part of an ongoing effort to “stabilize” relations with China, Australia’s biggest trading partner. The six-day trip to China is Albanese’s first since securing a landslide victory in Australia’s May 3 federal election.
On Tuesday in Beijing, Albanese met with Chinese President Xi Jinping. Albanese said the meeting was “very constructive,” adding that “here and always, I’m guided by Australia's national interests.” The two leaders discussed the Australia-China economic relationship, the importance of international trade, “maritime incidents” in the South China Sea, and more. After the leaders’ meeting, Xi hosted Albanese and his fiancée for lunch.
Notably, during his meeting with Xi, Albanese “reaffirmed, on Taiwan, Australia’s position of support for the status quo.” In recent months, U.S. Undersecretary of Defense for Policy Elbridge Colby has reportedly been pressuring Australia and Japan to reveal what they would do in the event of a Chinese invasion of Taiwan, frustrating the two U.S. allies.
A Pew Research poll published this week found that 23 per cent of Australians have a “favourable” view of China, up from just 14 per cent in 2024. Thirty-four per cent of Canadians polled by Pew had a favourable view of China, up from 21 per cent last year.
Asia Pacific FMs descend on Beijing
In addition to hosting Albanese, China chaired a meeting of foreign ministers from the Shanghai Cooperation Organization (SCO) — a 10-country forum including India, Pakistan, and Russia, with a focus on security and trade — in Beijing on Tuesday.
Xi told SCO delegates that the SCO must “play a more proactive role in injecting greater stability... into the world,” and “should unite and lead the Global South,” according to state media. China is the rotating chair of the SCO and will host the SCO leaders’ summit in Tianjin later this year.
India’s foreign secretary, S. Jaishankar, attended the SCO meeting in Beijing. It was Jaishankar’s first visit to China since border clashes between the two countries in 2020 sent relations reeling. Indian media hailed the visit as a “significant step” in repairing ties.
Anand, Wang break the ice
Chinese Foreign Minister Wang Yi has also been active on the diplomatic circuit. Last week, at the ASEAN foreign ministers' meeting in Kuala Lumpur, Wang offered to mediate tensions between Cambodia and Thailand and met with counterparts from the U.S., Japan, and Russia, as well as Canadian Foreign Affairs Minister Anita Anand.
Anand issued a summary of the meeting on social media. She reiterated her support for an upcoming meeting of the recently resumed Canada-China Joint Economic and Trade Commission, a bilateral commission tasked with resolving trade irritants. The two ministers also discussed “challenges and opportunities in the bilateral relationship.”
Anand’s meeting with Wang may lay the groundwork for talks between Canadian Prime Minister Mark Carney and his Chinese counterpart at the upcoming APEC leaders’ summit in late October in South Korea.
