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18 May 2026
9m

Taiwan arms sales, Board of Trade, and Chinamaxxing

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The Indicator from Planet Money

Recent diplomatic and economic shifts following President Trump’s meeting with Chinese President Xi Jinping center on stability and renewed trade frameworks. A primary friction point remains the $11 billion in U.S. arms sales to Taiwan, which Xi Jinping urged the U.S. to handle with "extreme caution," signaling a potential departure from the 1982 Reagan-era commitment to avoid negotiating such sales with Beijing. Simultaneously, the administration is proposing a "Board of Trade" to facilitate commerce in non-sensitive goods, potentially lowering tariffs and reviving bilateral dialogue. Public perception is also evolving; Gallup data shows Chinese leadership approval (36%) surpassing U.S. approval (31%) for the first time in years. This shift is reflected in the "Chinamaxing" social media trend, where younger Americans adopt Chinese lifestyle habits as a counter-narrative to domestic dysfunction and a manifestation of China's growing soft power.

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