While we will provide a more detailed preview of the Trump/Xi summit in a subsequent post, there are signs that President Trump and his Chinese counterpart, Xi Jinping, may emerge from their upcoming summit with an agreement about the artificial-intelligence industry, an increasingly prominent flash point between the world’s two biggest economies. But, as Bloomberg's Jacob Gu notes, fund managers say it’s unlikely to be significant enough to provide a sustainable boost to AI-related stocks.
Over the weekend, Treasury Secretary Scott Bessent, after hours of talks with Vice Premier He Lifeng in New York, said the two sides agreed to create what he called a “US-China AI dialogue” about the technology’s benefits and threats.
The following day, Liao Min, the Chinese Vice Finance Minister, and a key member of the delegation, told Bloomberg that staff from the two countries were working together toward the details of a potential agreement on AI, investment and trade.
Bessent will present Trump with an AI agreement to review before his meeting with Xi, Fox Business reported.
The importance of AI at the US-China talks is being highlighted by the expected presence of Sam Altman and other industry executives at Trump’s state dinner for Xi to be held later this week, and while US tech execs will be present (again), Xi is unlikely to bring a delegation of corporate executives when he meets Trump,, the WSJ reported.
But Gary Tan, portfolio manager at Allspring Global Investments, said investors shouldn’t expect it to have much immediate impact on the business between the two countries. “Given past experiences,
