WASHINGTON - President Donald Trump asserts that the United States is reaping greater profits from its trade with China, while minimizing frictions involving rare earth minerals, tariffs and cutting-edge fields like artificial intelligence that threaten ties between the globe's top two economies.

Trump heads to Beijing on Tuesday for a summit with Chinese President Xi Jinping, marking what may be the initial gathering in a series of four this year.

"We're conducting substantial business with China and generating significant revenue," Trump remarked last week. "We're earning plenty - it's not like before."

The meeting focuses on sustaining economic steadiness, anticipating only limited policy updates. The trade ceasefire from last October is expected to continue, alongside possible Chinese commitments to purchase U.S. soybeans, beef and Boeing aircraft. U.S. representatives have hinted at forming a Board of Trade to sustain economic dialogue.

Officials in the Trump camp argue that "the real priority beyond specific agreements is achieving stability and room for ongoing talks, to strengthen internal capabilities and pave the way for bigger deals," according to Brett Fetterly, managing principal at The Asia Group consultancy with a China specialization.

Such dialogue represents just an initial move in tackling U.S.-China rivalry, where retaliatory tariffs, expansions in AI and electric vehicles, plus the Iran conflict, risk derailing progress.

Countering Trump's profit narrative, China imported almost $50 billion fewer U.S. goods last year compared to 2022, per U.S. Census Bureau figures.

Part of this drop stems from Beijing halting soybean buys amid last year's trade clash. The administration emphasizes aiding U.S. farmers and manufacturers through increased Chinese imports, aiming to reduce a $202 billion trade deficit from last year.

America now sources more goods from Taiwan than China, driven partly by the AI boom prompting U.S. purchases of chips and servers from the island territory.

Since Trump's initial presidency, China has redirected U.S.-destined exports via other Asian nations, as U.S. firms relocated electronics supply chains to Vietnam and India.

China's portion of U.S. imports has dropped from 22% in early 2017 to 7.5% in this year's first quarter, based on data reviewed by Chad Bown, senior fellow at the Peterson Institute for International Economics and co-author of "How to Win a Trade War."

U.S. Trade Representative Jamieson Greer noted he "emphasized" during an April 30 discussion with Chinese Vice Premier He Lifeng the merits of a "new government-to-government Board of Trade."

Greer suggested the panel could boost non-security-related trade, such as agriculture, excluding chips or advanced tech.

This step might streamline dispute resolution and U.S. sales to China, avoiding repeats of last year's 145% tariff surge on Chinese imports, resolved via an October Xi-Trump truce in South Korea.

The board offers the administration an option beyond steep tariffs, which face logistical and legal barriers. The Supreme Court invalidated Trump's unilateral tariff powers last year, and a federal court recently struck down his interim replacements.

Both nations require domestic approval for the board, which could oversee billions in trade. Officials also seek an investment forum for cross-border financing discussions.

Accompanying the U.S. team to China are about 17 CEOs, including Tesla's Elon Musk, Apple's Tim Cook and Boeing's Kelly Ortberg, per the White House.

In certain respects, the Trump and Xi regimes are operating on parallel tracks. Trump views AI superiority as assured, prioritizing the trade gap. Xi, however, perceives upheavals from climate shifts and the Iran war boosting Chinese strengths in solar and EVs.

"Washington and Beijing vie across varied arenas with contrasting win strategies," observed Michael Sobolik, U.S.-China expert at the conservative Hudson Institute. "Trump wielded tariffs for deal leverage, not confrontation. Xi pursues a U.S. cold war triumph."

The U.S.-Israel campaign against Iran marks a pivotal energy shift, noted Ali Wyne, U.S.-China adviser at the International Crisis Group.

Trump's team anticipates sustained oil and gas demand, but China interprets Hormuz disruptions and price surges as accelerating green transitions aligned with its industries.

"U.S.-China structural tensions are intensifying in scope and intensity," Wyne stated.

Numerous flashpoints could disrupt optimistic rhetoric, casting doubt on summit breakthroughs for challenges including:

China's grip on most rare earth mining and processing, vital for electronics. The U.S. pursues domestic production via new alliances and investments, a multi-year effort.
U.S. restrictions on China's top-tier chip access, powering AI from firms like Nvidia and AMD.
China's auto export surge of 21% last year, per the China Association of Automobile Manufacturers, undercutting U.S., German, Italian, Japanese and Korean rivals on EVs.
Tariffs. Post-Supreme Court rejection, new probes under the 1974 Trade Act target overcapacity and forced labor for legally robust duties.
U.S. sanctions on a Chinese refinery and numerous tankers for Iranian oil transport. Beijing urged defiance of these this month, amid Panama Canal disputes.