
Washington, Nov. 25, 2025 – President Donald Trump held back-to-back calls with the leaders of China and Japan, as escalating tensions over Taiwan already threaten to derail his weeks-old trade truce with Beijing.
Trump’s hour-long conversation with President Xi Jinping on Monday marked their first contact since Japan’s new prime minister enraged Beijing by suggesting her nation’s troops could be drawn into a Taiwan crisis.
Xi told his US counterpart Taiwan’s return to China was an “integral part of the postwar international order,” according to the Chinese readout. Trump’s own account didn’t mention the island.
“I just had a very good telephone call with President Xi,” Trump wrote on Truth Social, saying they discussed Ukraine and elements of a trade pact struck last month in South Korea.
“Now we can set our sights on the big picture,” he added, without elaborating.
Hours later, Japanese Prime Minister Sanae Takaichi told reporters Trump reached out to reaffirm ties with Tokyo and update her on the situation with China.
“We’ve been able to further confirm the close relationship between the US and Japan,” she said. “He told me I’m a very close friend and that I could call him any time.”
Stocks in Hong Kong and China cheered Trump’s efforts to prevent ties spiraling, with a tech rally leading a rise in shares.
The row between Japan and China over Taiwan — the self-ruled island Beijing considers its territory — has injected fresh uncertainty into the Trump-Xi relationship.
Any hint Washington is siding with Tokyo could imperil a truce that saw the US lower fentanyl-related tariffs on Chinese goods and Beijing agree to suspend certain restrictions on the export of rare earths.
Trump’s decision to speak with both Xi and Takaichi illustrates the delicate balancing act he now faces.
The Republican leader must reassure America’s top ally of his commitment in the face of economic reprisals and tough rhetoric Beijing, while also steadying ties with Xi before a visit to China he confirmed is planned for April.
That equilibrium could be hard to maintain, with little off-ramp in sight for the China-Japan spat.
“China often wants Washington to handle its friction with US allies,” said Rorry Daniels, managing director at the Asia Society Policy Institute, adding that Beijing views America’s allies as “subordinate to “China often wants Washington to handle its friction with US allies,” said Rorry Daniels, managing director at the Asia Society Policy Institute, adding that Beijing views America’s allies as “subordinate to US direction.”
It’s unclear how Trump — who likes to play peacemaker — could meaningfully intervene. China’s position is Takaichi must recant her comments. For Japan’s new leader, bowing to Beijing would invite political blowback at home, where she has support around the 70% mark in opinion polls.
Adding to the volatility, China is pressuring countries to pick sides. In a bid to rally support, Beijing has written a letter to the United Nations accusing Japan of violating international law by suggesting its armed forces could be drawn into a Taiwan conflict.
Investors in Asia are already grappling with uncertainty after China issued a travel advisory against Japan, suspended the screening of some Japanese films and banned the import of Japanese seafood. Adding to the tensions, China has announced patrols in the East China Sea, while Japan reaffirmed plans to deploy missiles to an area near Taiwan.
Trump’s flurry of diplomacy comes as the US and China’s trade teams hash out the final details of their truce.
Treasury Secretary Scott Bessent said earlier this month that a rare earths deal between the nations would “hopefully” be completed by Thanksgiving, though talks on key implementation details continue. (Bloomberg)
