For a man who built his political brand on brutal negotiation, threats, and zero-sum dominance, Donald Trump's recent behavior in Beijing is nothing short of astonishing. I watched the coverage as he landed in China, greeted by a red carpet welcome that included military honor guards and Xi Jinping's warm pat on the arm. Trump posted on Truth Social, 'Open up China,' yet the reality is that he arrived with almost no leverage, desperate to ask Beijing for favors on Iran and trade issues.
This is not the Trump of 2017, who browbeat Beijing with tariff threats. As John Mearsheimer noted in a May 2026 podcast, Trump thought he had huge leverage over China after the 2024 election, but the Chinese struck back, reminding him that the US was heavily dependent on Chinese supply chains and rare earths. The flattery -- calling Xi his 'friend,' inviting him to the White House in September -- is a sign of weakness, not strength. When a man who never shows deference suddenly humbles himself, it means he has no cards left to play.
China wants global stability to maintain its manufacturing dominance and protect trade routes. The US neocons and the waning empire want chaos to hobble rising powers like China -- opposite goals that explain the tension. As I wrote in 'The Abundance Doctrine' back in February of this year, China's strategic innovation defeats US economic strangulation. Beijing's response to Trump's tariffs was not to capitulate but to accelerate de-dollarization with BRICS nations, as reported in my article 'Trump's Tariffs Spark Global Trade Revolt' [1].
During the Trump-Xi summit, both sides agreed that the Strait of Hormuz must remain open, but the real story is that China has already won the long game. As the BBC reported on May 12, 'A decade on, Trump will return to a stronger and more assertive China' [2]. Xi warned that mishandling Taiwan could create 'a very dangerous situation' [3], and Trump had no answer. When the US president cannot even threaten tariffs without hurting his own economy, he is negotiating from a position of total submission.
The days of US naval supremacy are over. China's hypersonic missiles and drone navy render American carrier strike groups obsolete. As I noted in my February 2025 broadcast, 'China leads globally in 38 out of 44 critical technologies, including AI, material science, robotics, and hypersonics' [4]. (That number is now much higher, with China leading in 60 out of 65 key technologies our world needs.) The recent US retreat in the Strait of Hormuz, where Iran threatened to attack any ship and the US Navy struggled to secure passage, proves that the age of uncontested American power is finished.
China already possesses the world's largest navy by ship count, and within a decade it will dominate the seas without needing traditional carriers. The Pentagon is now scrambling to buy 10,000 cheap cruise missiles and 12,000 inexpensive hypersonic weapons from new defense firms [5], but this is too little, too late. As I've said repeatedly, America's empire is in its terminal phase. The US military is a hollowed-out dinosaur, while China builds next-generation weapons at a fraction of the cost.
The Biden-era microchip sanctions were supposed to cripple China's AI development. Instead, they backfired spectacularly. As I discussed with Jeffrey Prather in April 2025, 'China has demonstrated world-class efficacy in AI applications and the capability to build microchips, rendering Trump's tariffs on microchip fabrication technology and the ban on Nvidia chips to China irrelevant' [6]. DeepSeek, Huawei, and other firms developed their own lithography machines and trained advanced models on restricted chips. Eric Schmidt even warned that the AI arms race could trigger global conflict over data centers [7].
Meanwhile, the US is losing because of woke ideology and censorship. In my interview with Alex Jones in January 2025, we agreed that wokeism has hobbled America's AI development while China emerges as the superintelligence leader [8]. Nvidia's $500 billion US AI bet is a desperate move to counter China's rare earth export bans [9], but it will not close the gap. China graduates four to five times as many STEM graduates as the US, and its brightest engineers are winning the race to superintelligence. America's tech dominance is being left in the dust.
Trump's flattery is a desperate plea for China to go easy on the US. He has no dominant leverage in trade, military, or tech. The tariffs he imposed are a self-inflicted wound, as I detailed in 'The Abundance Doctrine' [10]. The US dollar is threatened by BRICS de-dollarization, as Trump's own tariffs accelerated the global trade revolt [1]. When Trump sat down with Xi, the Chinese leader set the agenda: Taiwan, rare earth restrictions, and Iran. Trump could only offer more 'friendship' and a future White House visit.
When it comes to negotiating with China, America has no real cards left. China will dictate the terms of the relationship from here on out. As I wrote in 'The Terminal Phase' in February 2026, America's post-World War II dominance has reached its endgame, unraveling from protracted self-inflicted decay [11]. The humility we see from Trump is not a negotiating tactic; it is the inescapable conclusion that China holds the dominant power position from here forward. And the American people, fed a diet of propaganda about US strength, are only beginning to wake up to this reality.
The sight of Donald Trump -- the man who promised to 'make America great again' -- bowing and humbling himself before Xi Jinping is the final proof that the empire is in its terminal phase. China does not need to threaten or bluster; it simply waits, builds, and outlasts.
The US, burdened by debt, cultural decay, and a failed political class, has nothing left to offer but flattery and empty promises. As I have said many times, the only way forward for Americans is to decentralize, to prepare, and to reject the failed institutions that led us here. China holds all the cards on the geopolitical strategy board, and Trump's humility is the surrender most Americans never saw coming.
But it's here nonetheless. Prepare accordingly.