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Soon: Trump and Xi Toast Each Other at State Banquet; Trump and Xi Speak Before State Banquet in China; President Trump Delivers Toast During State Banquet. Aired 6-6:30a ET

Aired May 14, 2026 - 06:00   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.

[06:00:00]

ADAM FARRAR, SENIOR GEOPOLITICAL ANALYST, BLOOMBERG: Into China as, you know, they look towards the future of both of China's economy, but also the role of China in the world.

But the reality is that we haven't seen whether President Trump was willing to actually push towards changing U.S. policy in some way. Certainly, he raised concerns earlier this week when he reiterated his potential willingness to discuss one of the most sensitive issues in the relationship, which is arms sales from the United States to Taiwan with President Xi, which interpreted in some ways in and of itself could be seen as a policy shift.

But at the same time, you know, our take at Bloomberg is that he's unlikely to actually make a formal policy shift in these discussions. But the real risk is not so much that, but rather that President Xi is able to impress upon President Trump enough of how serious this is to him, and how much theoretically it could risk the relationship and this fragile truce, that President Trump may see an interest in continuing to delay future arms shipments, as he's been doing so far, which over time have a serious impact on Taiwan's defense.

ERICA HILL, CNN ANCHOR: Yes, absolutely. Adam, stay with us. Our coverage of president's trip to China continues right now, as we welcome you back at the top of the hour.

ANNOUNCER: This is CNN Breaking News.

HILL: And if you're just joining us, good to have you with us for this breaking news out of China. President Trump and Chinese leader Xi Jinping about to sit down. You can see everybody mingling at the banquet in the Great Hall of the People in Beijing. A number of the president's cabinet members, tech CEOs, all in attendance.

Good morning, everyone. I'm Erica Hill, joining you from New York in for Audie Cornish today.

So, we have not yet seen President Trump or Xi Jinping arrive, but they are expected to arrive at any moment now. As I noted, a number of cabinet officials are there. You can see Secretary Bessent there. And it looks like just moments ago, the arrival of President Trump's will be seeing more of him enter the hall in just a moment. In terms of this first day, of course, this banquet, capping off this first full day for President Trump on his visit to China, China's foreign ministry said that Xi and Trump agreed to establish a constructive, strategic, stable relationship in a moment that they will toast, of course, to that relationship.

Here's a little bit of what we heard earlier today.

(BEGIN VIDEO CLIP) \ DONALD TRUMP, U.S. PRESIDENT: But it's an honor to be with you. It's an honor to be your friend. And the relationship between China and the USA is going to be better than ever before.

XI JINPING, CHINESE PRESIDENT (through translator): Our two countries have more common interests than differences. Success in one is an opportunity for the other. And a stable bilateral relationship is good for the world.

(END VIDEO CLIP)

HILL: CNN Senior White House Correspondent Kristen Holmes is traveling with the president and joins us now live from Beijing. Kristen, good to see you. So, a big day one. We have not heard quite as much from the White House as we have heard from Chinese officials in terms of that readout. Walk us through what more we know about those initial discussions.

KRISTEN HOLMES, CNN SENIOR WHITE HOUSE CORRESPONDENT: I mean, right now it's really vague. I mean, what we've heard has come from Chinese state media and then a very, very vague, nondescript readout from the White House where it essentially showed that Iran had loomed large over these conversations. But they also did call them, quote/unquote, "good."

Now, from the Chinese side, we have a readout that says that President Xi stressed the importance of Taiwan, saying that how this was handled was the single most important China-U.S. issue when it comes to the relationship. And if it was handled poorly, it could lead to destabilization. Those are pretty forceful words. That came from Chinese state media. No talk about that from the White House readout of this.

Instead, this is what that said. This talks about the two sides agreed to the Strait of Hormuz, that it must remain open to support the free flow of energy. And the White House also said that Xi had made clear China's opposition to the militarization of the Strait, as well as Iran having a nuclear weapon. Well, we know that going into this, President Trump was expected to ask China and ask President Xi to put pressure on Iran to reopen the Strait of Hormuz, as well as potentially even sign a peace deal.

Keep in mind what we heard there from the White House when it comes to President Xi's stance on the war in Iran and the Strait of Hormuz, those aren't new positions. We have heard this already from the leader of China, saying that the Strait of Hormuz should be open, that they do oppose any kind of militarization, saying they support the fact that Iran has agreed not to develop a nuclear weapon.

So, all of this is kind of par for the course. We're not learning anything new. The question is whether or not there were more details discussed behind closed doors. We do expect an announcement soon, at least within the next 24 hours, of any kind of business deals that might have come through on this. They talked about agricultural goods, China purchasing more goods from the United States. That was to be expected. We do expect announcements about that coming out of it.

[06:05:00]

But really, I mean, the two big things that everyone is focused on, we don't have a number of details. We have what President Trump wanted out of this when it came to the war in Iran, which is he's looking for an off-ramp. He thinks President Xi could help, which, mind you, the secretary of state, Marco Rubio, actually said in an interview he was hopeful that President Xi could help with opening the Strait of Hormuz.

And when it comes to President Xi, Taiwan. Taiwan is a huge issue. This is something President Xi has said, that they want the United States to stop supplying weapons to Taiwan. They want the United States to stop supporting Taiwan. So, where they landed, if there were any changes on those two issues, that's what we're trying to figure out.

Now, of course, it would behoove both sides to be very cagey about both of those issues. So, that's going to be harder to get to the bottom of, particularly given the foreign policy and geopolitical implications of both of those.

HILL: Yes, absolutely. And it's interesting, as you point out, I know we're waiting for a little bit more from the White House. We do have the readout from Chinese state media. But to your point, Kristen, what they want to keep close to the vest, those two main issues that you highlight, they are inextricably linked. Because, of course, if the U.S. wants some help on Iran, the leverage there could potentially be Taiwan, which China would perhaps like to see and is a source of major concern for Taipei.

HOLMES: Exactly. And I do want to say, Erica, I mean, this is one of the huge concerns we're seeing really across the world, particularly with some even U.S. officials, that Taiwan is going to be used as some kind of a bargaining chip as President Trump continues to look for an off-ramp. And we just don't have answers on this.

And that's why when we're talking about who holds the cards when it comes to this meeting, that's the point that we should highlight. President Xi has perhaps not had this kind of leverage over the United States in a negotiation ever, or at least in any time in modern history, particularly knowing that he cares about Taiwan so intensely and that, of course, such a big issue for the U.S.-China relationship. Would he want to capitalize on the leverage he has to potentially get involved in the U.S.-Iran conflict?

Of course, we have to remind our viewers that China has a very close relationship with Iran. It's likely their closest partner in that region, and it gets a majority of the oil and gas from Iran. So, the Strait of Hormuz is actually hurting China as well.

But this is the big question, one that, you know, we've heard from our correspondent Will Ripley in Taiwan that they're very concerned about as well.

HILL: Absolutely. And when we talk about, Kristen, some of what we did hear initially, this language that China was using about the relationship, a constructive, strategic, stable relationship for the two countries moving forward, that it should be characterized by cooperation and well-regulated competition. To your point, as you noted, talking about these manageable differences, what does that actually translate to? Constructive, strategic, stable relationship. What does it change?

HOLMES: I mean, if you just -- I mean, that's -- look, that's the big question. But I do think if you look at what we've seen, at least for the last year and a half, when it comes to the relationship with China, first you had President Trump bashing China on the campaign trail at every chance he could get. He's blamed them for everything. He said that they should have the highest tariffs, that they are ripping America off. And we've seen this kind of back and forth, up and down escalation on trade.

So, in terms of stability, I mean, right now, the U.S. and China, for the last couple of months, has been at a more stable pace -- at a more stable place than what we saw for the entirety of the beginning of Trump's administration. And the problem that what we were seeing, in terms of China and the U.S., and this kind of going back and forth with trade, and the Trump threatening with these massive tariffs, pulling it back, getting to the brink of a trade war, entering into a trade war at various parts, pulling back from that trade war, that is not just effective to, that is not something that just affects China and the United States. That is something that affects the entire global economy.

And there was a real sense of instability among the global economy, among that period of time, amid that period of time, for the first year and a half -- or the first year and several months of President Trump's tenure. So, when you're talking about stability, when you're talking about moving forward, one of the things that we know China wanted to get out of this is not necessarily a reduction just in tariffs. Of course, that would be ideal.

But lasting trade deals, trade deals that are set in stone, that can't be kind of used, dangled over you. And also, this idea that tariffs tomorrow aren't going to be on a whim, increase 50 percent or 100 percent or 200 percent, whatever President Trump has said in the past, which has been kind of all over the map. So, when you talk about that, that's what it sounds like when he's talking about stability, because that is something that has greatly affected the entire global market.

And obviously, China itself, as it has joined the United States in this kind of back-and-forth fight and escalation over tariffs and trade. HILL: And China is sort of, you know, digging in early on in the tariff days, which feels like a lifetime ago at this point, Kristen, but really it was only a little over a year ago in terms of their public posture as well.

[06:10:00]

What's fascinating as all of that is happening is the sheer number of tech CEOs that President Trump has brought along with him and the level of these executives as well, which sends a clear message to China in terms of not only their importance, but how the president wants that to be received. We know how important symbolism is here.

HOLMES: Yes. And also -- I mean, you have to also think of this kind of as President Trump flexing his muscles, exerting his control. Yes, those tech CEOs, the CEOs of these major corporations are there of their own free will, but they came there with President Trump, which gives us some kind of indication if you are arriving with them, that they are there on behalf of President Trump and America, despite what these companies might think. That is the perception if you are going in, some of them are riding on Air Force One.

Now, President Trump is showing up with his greatest arsenal that he has at this moment, which is the support and the ability to call these CEOs to a meeting in China. He believes he has brought together the best, the brightest, but also the people who are most capable of providing some kind of lucrative deal, whether it is getting China to invest in their businesses in America, which then can obviously, in terms of President Trump, will turn that into potential jobs, potential growth in the U.S. market.

He has brought the people he believes that need to be in the room. This isn't just saying, OK, my representative from Meta is here, my representative from Apple is here. It's like, no, we have the CEO here who can make a deal right now, sign it in ink. And it also is -- it's backup. It's backup for President Trump. He knows going into this that he has fewer cards, at least when it comes to the war in Iran, because he does have a major ask in terms of pressuring Iran and having China do so. But he is also arriving with a group of CEOs who are there and can agree on the spot to major contracts.

And we know one of the things that President Xi wants, that China wants, they want help in the tech industry. There is a major race going on between China and the U.S. in terms of A.I. But China is restricted from a lot of U.S. technology, and it doesn't have full access to U.S. A.I., which, of course, it would want as it continues to grow its A.I. as well. And so, these are some of the CEOs that can open those doors.

And make no mistake, I mean, some of these CEOs want things directly from China. The head of NVIDIA wants China to resume the imports of chips, for example. The head of Boeing, who is there, wants China to purchase Boeing aircrafts, American aircrafts, and bring them over. Those are the kind of deals that we're going to see come out of this, because those also benefit China. I mean, this is a mutual two-way street here in terms of some of these business deals. So, there are things that both parties are going to be able to agree on that are wins for both sides.

I think what we're really trying to get to the bottom of is the nitty- gritty sticky stuff. The Iran War, Taiwan, what is used as a bargaining chip? Where did we land? Has there actually been any movement on this, or are we just kind of regurgitating what we've already heard Xi Jinping say in public? Is that what he said privately to President Trump as well, or was there a step further? And that's what we don't know right this second. And we only have this kind of vague announcements where, of course, both sides are going to try to make it seem not only positive, but also that their side came out triumphant. They said what they needed to say.

HILL: And we see not, of course --

HOLMES: And I think what we're seeing everyone enter right now too.

HILL: Absolutely. We'll take a minute, watch this. President Trump coming in, along with President Xi. We saw President Trump's son, Eric Trump, and his wife, Lara, walking in just before them. So, President Trump making his way in now to the state banquet being held in his honor for this visit. Let's listen in.

(MUSIC PLAYING)

HILL: Kristen, if you're still with me as we're waiting for these toasts to begin, it's important to note what is here at this banquet, the way that the president has been received since arriving in Beijing. Each of these touches matters and sends a message to President Trump, but also to the world in terms of how he is being received.

[06:15:00]

HOLMES: Well, and also, I mean, Erica, one of the most stunning things that I've noticed is that he has completely -- President Trump has completely deferred to President Xi in the sense that he is in his home, his home territory. But also -- I mean, President Trump loves talking to reporters. He loves answering questions. He has -- I think we're start -- we're going to start the toast. Of course, we're going to want to listen in. I'm sorry about that, Erica.

HILL: OK.

XI JINPING, CHINESE PRESIDENT (through translator): Honorable President Donald J. Trump, ladies and gentlemen, it is a great pleasure to host the state banquet in honor of President Trump during his state visit to China. On behalf of the Chinese government and people, I'd like to extend a warm welcome to President Trump and the U.S. delegation.

This is a historic visit. This year marks the start of China's 15th five-year plan for economic and social development. The over 1.4 billion people of China drawing on the rich heritage of our over 5,000-year civilization are advancing Chinese modernization on all fronts through high-quality development. This year is also the 250th anniversary of American independence. The over 300 million American people are reinvigorating the spirit of patriotism, innovation, and enterprise, and ushering in a new journey for the development of the United States.

The people of China and the United States are both great peoples. Achieving the great rejuvenation of the Chinese nation and making America great again can go hand in hand. We can help each other succeed and advance the well-being of the whole world.

Fifty-five years ago, President Richard Nixon sent Dr. Henry Kissinger to visit China, and Ping-pong diplomacy was carried out between our two countries. Through efforts of the two governments and peoples, the door that had remained frozen for over 20 years was opened, marking a milestone in contemporary international relations.

[06:20:00]

From then on, China and the United States have written many chapters of friendship through mutual openness and cooperation.

Under the new situation, President Trump and I, fully aware of the expectations of our two nations and the International Community, have had multiple meetings and phone calls and kept China-U.S. relations generally stable.

Today, President Trump and I had in-depth exchanges on China-U.S. relations and international and regional dynamics. We both believe that the China-U.S. relationship is the most important bilateral relationship in the world. We must make it work and never mess it up. Both China and the United States stand to gain from cooperation and lose from confrontation. Our two countries should be partners rather than rivals.

President Trump and I also agreed to build a constructive China-U.S. relationship of strategic stability to promote the steady, sound and sustainable development of China-U.S. relations and bring more peace, prosperity and progress to the world.

Honorable President Donald J. Trump, ladies and gentlemen, friends. Looking back at the course of China-U.S. relations, whether or not we could have mutual respect, peaceful coexistence and win-win cooperation is the key to whether the relationship can advance steadily.

The world today is changing and turbulent. China-U.S. relations concern the well-being of the over 1.7 billion people of both countries and affect the interests of the over 8 billion people of the world. Both sides should rise up to this historic responsibility and steer the giant ship of China-U.S. relations forward, steadily and in the right direction.

Now, please join me in a toast to the development and prosperity of China and the United States and the well-being of our people, to the bright future of China-U.S. relations and the friendship between the two peoples, and to the health of President Trump and all the friends of the United States. Cheers. Cheers.

(MUSIC PLAYING)

[06:25:00]

UNIDENTIFIED MALE (through translator): Thank you, President Xi. Next, a toast by President Trump.

DONALD TRUMP, U.S. PRESIDENT: Well, thank you very much. This is a great honor. It was a fantastic day. And in particular, I want to thank President Xi, my friend, for this magnificent welcome. And it really was a magnificent welcome like none other. And for so graciously hosting us on this very historic state visit.

We had extremely positive and productive conversations and meetings today with the Chinese delegation earlier. And this evening is another cherished opportunity to discuss among friends some of the things that we discussed today, all good for the United States and for China. And it was a great honor to be with you. Please.

The relationship between the American and Chinese people goes all the way back to America's founding. The first American consul to China, Samuel Shaw, arrived on the first American trading ship to reach these shores in 1784. The Chinese merchants had a name for the Americans. They called their visions the New People. Two and a half centuries later, that first connection has grown into one of the most consequential relationships in world history.

From the beginning, our citizens have shared a deep sense of mutual respect, founding father, Benjamin Franklin, published the sayings of Confucius in his colonial newspaper. And today's sculpture, recognizing that ancient Chinese sage, is carved into the face of the United States Supreme Court very proudly.

The appreciation ran in both directions. Chinese admirers of President George Washington gifted a stone tablet honoring his memory to adorn the Washington Monument. It bears the words of a Chinese official who called the great general and statesman a hero among men.

(COMMERCIAL BREAK)

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