President Donald Trump is insistent that U.S.-China relations are good and getting better despite deep differences on key issues. During Thursday's talks in Beijing with Chinese President Xi Jinping, Trump expressed optimism about future cooperation. Xi said Thursday that he hoped both countries could be “partners, not rivals." However, challenges remain, including China's limited involvement in resolving the Iran conflict. Xi privately warned Trump that their differences on the self-ruled island of Taiwan, if handled poorly, could hurtle the world’s dominant powers toward an “extremely dangerous situation.” Trump and Xi will meet again Friday for more talks before Trump returns to Washington.

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Tariqul Islam, a ride-share driver, waits in a long queue of petrol for his motorcycle in Dhaka, Bangladesh, Tuesday, April 23, 2026. (AP Photo/Abdul Goni)

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Tariqul Islam, a ride-share driver, waits in a long queue of petrol for his motorcycle in Dhaka, Bangladesh, Tuesday, April 23, 2026. (AP Photo/Abdul Goni)

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An attendant prepares to fill a customers tank at a gas station on Wednesday, May 6, 2026, in Portland, Ore. (AP Photo/Jenny Kane)

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A total of $99.86 for gasoline is displayed at a fuel pump at a gas station on Wednesday, May 6, 2026, in Portland, Ore. (AP Photo/Jenny Kane)

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An attendant talks with a customer while fueling their tank at a gas station on Wednesday, May 6, 2026, in Portland, Ore. (AP Photo/Jenny Kane)

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A person walks past a sign for fuel prices at a gas station on Wednesday, May 6, 2026, in Portland, Ore. (AP Photo/Jenny Kane)

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In this image taken with a slow shutter speed, vehicles move past a gas station on Wednesday, May 6, 2026, in Portland, Ore. (AP Photo/Jenny Kane)