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Home » Gordon Chang: America Still Has the Upper Hand, But China Has These Two Cards (Transcript)

Gordon Chang: America Still Has the Upper Hand, But China Has These Two Cards (Transcript)

Read the full transcript of veteran China analyst Gordon Chang’s interview on American Thought Leaders, May 24, 2026.

Editor’s Note: In this episode of American Thought Leaders, host Jan Jekielek sits down with veteran China analyst Gordon Chang to dissect what really unfolded behind closed doors during the high-stakes Trump-Xi summit. Despite Beijing’s aggressive media messaging, Chang explains why the United States still holds the ultimate geopolitical upper hand and reveals the critical vulnerabilities tearing at the seams of China’s failing society. He also breaks down the two massive chokeholds Beijing still weaponizes against America—rare earth minerals and pharmaceutical precursors—and why Washington must dismantle this leverage before it’s too late.

INTRODUCTION

JAN JEKIELEK: This is American Thought Leaders, and I’m Jan Jekielek. Gordon Chang, such a pleasure to have you back on American Thought Leaders.

GORDON CHANG: Thank you so much, Jan.

What Really Happened at the Trump-Xi Summit?

JAN JEKIELEK: There are such different readouts on what happened during this Trump-Xi meeting recently, and I just want to get your take on it. What do you think really happened?

GORDON CHANG: We don’t know at this stage. For most US-China summits, they’re canned. Everything’s decided beforehand. This one wasn’t, which means that Trump was negotiating really important and substantive matters on hostile territory without a script.

We know that the readouts between the White House and China are different in some respects, but the thing here is that we don’t know what they talked about. And so this is only going to become evident weeks, months down the road. I think that historians are going to be talking about this summit for quite some time because in some respects it was historic. So I think that there’s a lot we don’t know right now.

Who Had the Upper Hand?

JAN JEKIELEK: People are saying that Xi had the upper hand, that Trump had the upper hand. I mean, some really divergent analyses that it’s difficult to comport. How do you see it?

GORDON CHANG: Oh, Trump certainly had the upper hand. He represented the far stronger country. China right now is in distress. Its economy, as we can see from the April numbers, could very well be contracting. If it’s not contracting, it’s growing at a very low pace. And China needs very high growth in order to deal with the debt that it’s accumulated, especially since the 2008 downturn.

You have a China which is demographically in collapse. It now has 1.4 billion people as officially reported. By the turn of the century, it’s going to lose half its population, maybe two-thirds. This is the biggest demographic collapse in history in the absence of war. So we just don’t know what’s going to happen. The Chinese people are really unhappy at this point. They’re pessimistic, they’re opting out of society. You have a military which has been decimated by Xi Jinping’s purges. The Communist Party is in disarray.

But fundamentally, you have a China which needs to import large amounts of energy and food. The US, in contrast, we’re self-sufficient in both of those. We’re the largest producer of oil and gas in history. So it’s just no question about it. I know a lot of people don’t like President Trump, but they need to come to some balanced assessments of what’s going on. Now, this is not to say that President Trump did better at the summit. It’s just to say that coming in, even though he was traveling to China, he had the upper hand.

Xi Jinping’s Arrogance and the Pomp of the Summit

JAN JEKIELEK: One thing I noticed at the summit, thinking back to 9 years ago — you indicate kind of one area that’s changed. I do think the US position has increased, if you will, and I think that’s what you were suggesting here. But what about this great pomp that we saw? I think it was much more significant than the last time. What’s your take?

GORDON CHANG: Yeah, I haven’t looked at the 2017 arrival ceremony, and it’s probably about the same. This time, maybe a little bit less. I don’t know. But what is different, though, is Xi Jinping was extremely arrogant this time. And he had, I think, very few reasons to be.

Remember, Trump comes into the summit. He has been pushing China out of the Western Hemisphere. He’s been pushing China out of the Middle East. He’s the one who is making the decisions in the world, and he’s driving events. And the Chinese are, for the most part, bystanders. But nonetheless, Xi Jinping wanted to play this very arrogant type figure, and he actually convinced media around the world that he was in charge.

Thursday, everyone talks about his comments on Thucydides trap. I mean, that refers to a period where you have a declining hegemon dangerously challenging a rising power, and that has been the framing. But Xi Jinping was even much more arrogant than that because he used the phrase “new era.” “New era” is a time when China dominates the world, rules the world maybe, and the US is nowhere to be seen.

So we have a very arrogant figure and people sort of glommed onto that. But we got to remember, this was not a confident Xi Jinping because on Friday when Trump went to Zhongnanhai, the leadership compound, the Chinese put him in that chair which was lower than Xi’s. And that was just silly. And I think that really reveals insecurity on the part of the Chinese.

So whatever advantages they got from Thursday — and remember, Trump was very confident. He didn’t reply to the insults. Whatever advantages the Chinese got on Thursday, I think they lost it on Friday.

China’s Propaganda War and America’s Disarmament

JAN JEKIELEK: One of the most powerful tools that the Chinese Communist Party uses is propaganda, and they’re very, very good at it. And what you’re describing seems to me an attempt to develop this kind of messaging of Chinese success, Chinese Communist Party success.

GORDON CHANG: Yes, they’re very good at propaganda.