Biden, Xi met for hours and agreed to ‘pick up the phone’ for any urgent concerns: ‘That’s progress’

WOODSIDE, Calif. — U.S. President Joe Biden and China’s Xi Jinping emerged Wednesday from their first face-to-face meeting in a year vowing to stabilize their fraught relationship and showcasing modest agreements to combat illegal fentanyl and re-establish military communications. But there were still deep differences on economic competition and global security threats.

The most assuring takeaway from the meeting for Biden was that if either man had a concern, “we should pick up the phone and call one another and we’ll take the call. That’s important progress,” he said in a news conference following the talks.

The two leaders spent four hours together at a bucolic Northern California estate – in meetings, a working lunch and a garden stroll – intent on showing the world that while they are global economic competitors they’re not locked in a winner-take-all faceoff.

“Planet Earth is big enough for the two countries to succeed,” Xi told Biden.

The U.S. president told Xi: “I think it’s paramount that you and I understand each other clearly, leader-to-leader, with no misconceptions or miscommunications. We have to ensure competition does not veer into conflict.”

Their meeting, on the sidelines of the annual Asia-Pacific Economic Cooperation conference, has far-reaching implications for a world grappling with economic cross currents, conflicts in the Middle East and Europe, tensions in Taiwan and more

They reached expected agreements to curb illicit fentanyl production and to reopen military ties, Biden said. Many of the chemicals used to make synthetic fentanyl come from China to cartels that traffic the powerful narcotic into the U.S., which is facing an overdose crisis.

Top military leaders will resume talks, Biden said, an increasingly important move particularly as unsafe or unprofessional incidents between the two nations’ ships and aircraft have spiked.

Ultimately, the agreements rely on trust between the two leaders.

“I know the man I know his modus operandi,” Biden said of Xi. “We have disagreements but he’s been straight.”

But he still said Xi was a dictator … “in a sense.”

The two leaders had a significant back and forth over Taiwan, with Biden chiding China over its massive military build-up around Taiwan and Xi telling Biden he had no plans to invade the island, according to a U.S. official who spoke on condition of anonymity to detail the private talks.

Biden, the official said, declared the U.S. was committed to continuing to help Taiwan defend itself and maintain deterrence against a potential Chinese attack, and also called on China to avoid meddling in the island’s elections next year. The official described the Taiwan portion of the talks as “clear-headed” and “not heated.”

Biden also called on Xi to use his influence with Iran to make clear that Tehran, and its proxies, should not take steps that would lead to an expansion of the Israel-Hamas war. Foreign Minister Wang Yi has assured the U.S. that the Chinese have communicated concerns to Iran on the matter. But the official said the U.S. has not been able to ascertain how seriously the Iranians are taking concerns raised by Beijing.

According to a statement released by China Central Television, the state broadcaster, Xi was most focused on Taiwan and the U.S. sanctions and restrictions against Chinese products and businesses.

Xi urged the U.S. to support China’s peaceful unification with the self-governed island, calling Taiwan “the most important and most sensitive issue” in the bilateral relations. He also raised Beijing’s concerns over export controls, investment screenings, and sanctions imposed by the U.S., which he said “have severely harmed China’s legitimate interests.”

He said, “We hope the U.S. side can seriously treat China’s concerns and take actions to remove unilateral sanctions and provide a fair, just, non-discriminatory environment for Chinese businesses.”

Xi said he and Biden also agreed to establish dialogues on artificial intelligence and stressed the urgency for the two countries to cope with the climate crisis, the state broadcaster reported.

Both leaders acknowledged the importance of their relationship and the need for better coordination. But their differences shone through: Xi indicated he wants better cooperation — but on China’s terms. And he sought to project strength to his domestic audience in the face of U.S. policies restricting imports from China and limiting technology transfers to Beijing.

Biden, meanwhile, will also spend time this week in California working to highlight new alliances in the Indo Pacific and efforts to boost trade with other regional leaders.