As President Xi Jinping heads to the Filoli estate in California for a meeting of two "equals," it’s impossible to ignore the fact that the economic gap between China and America has widened since the last such meeting.
A year ago, when President Joe Biden and President Xi met in Jakarta on the sideline of the G20, China was approximately 71% of the GDP of America. Xi famously predicted the "rise of the East and the decline of the West."
In 2023, according to IMF's economic outlook, China fell to about 65% of the GDP of America.
The US economy has expanded despite the increasing odds of a recession. Meanwhile, China's ascending economic status, which gives China both domestic political legitimacy and international prowess, has been sluggish.
Centred on the economy-security nexus, both Biden and Xi have ventured into rebuilding new spheres of global influence and igniting the domestic economy over the past year.
Biden sealed the Camp David Accord – a trilateral security treaty – among America, Japan, and South Korea, comparable to an Asian version of NATO. Indian President Modi received much attention in Washington, DC, as America continued to make progress in aerospace and defence in cooperation with India.
Additionally, Biden visited Communist Vietnam, a US Cold War foe, and announced a bilateral strategic partnership.
America has also aimed to compete with China in improving Eurasian infrastructure connectivity by creating a link between India, the Gulf region, and Europe. This would be achieved through an underwater train that can travel at an incredible speed of 600-1,000 km/hour. The Dubai-Mumbai corridor will be similar to the London-Paris route. Mumbai will receive oil from the Gulf region and the latter will receive water from Mumbai.