People's Bank of China

Xi Signals U.S.-China Rivalry May Be Manageable as Trade Tensions Ease

Chinese President Xi Jinping appears to be betting that the world’s two largest economies can avoid the destructive logic of the “Thucydides Trap,” the idea that a rising power and an established power are destined for conflict. His recent posture suggests Beijing sees room for managed competition with Washington, even as structural mistrust, tariffs and strategic rivalry remain deeply embedded.