The main outcome of U.S. President Donald Trump¡¯s summit with Chinese leader Xi Jinping in Beijing last week was stalemate, as both men declined to make concessions on the issues that have ensnared the world¡¯s two largest economies in an epic great-power competition.

The effective U.S. tariff rate on Chinese goods remains 22%, while extensive sanctions on China¡¯s semiconductor sector have not been relaxed. It is restrictions on access to advanced chipmaking equipment ¡ª particularly the Extreme Ultraviolet (EUV) lithography machines made by the Netherlands¡¯ ASML ¡ª that Beijing most wants eased, not curbs on artificial intelligence chip sales. In fact, Xi told Trump during their meetings that China prefers to develop its own high-end AI chips rather than buy them from the U.S.¡¯ Nvidia.

The U.S. and China did reach agreement on several issues. Beijing pledged to buy at least $17 billion in American agricultural products annually through 2028 as well as 200 Boeing jets, with a delivery timeline not yet established.