US President Joe Biden said talks with Chinese counterpart Xi Jinping had yielded progress in repairing strained ties in the bilateral relationship, hailing agreements to restore high-level military communications, combat fentanyl and open a dialogue over artificial intelligence.
"I believe they were some of the most constructive and productive discussions we've had," Biden said at a press conference Wednesday, following a summit aimed at steadying a bilateral relationship under intense strains. "We've made some important progress, I believe."
China described the talks as a "candid and in-depth exchange of views" and said "one country's success is an opportunity for the other," according to a statement released by the nation's Foreign Ministry. The Chinese added it was "unrealistic for one side to remodel the other," and warned the Taiwan question was among the most "sensitive issues in the relationship."
"China will realize reunification, and this is unstoppable," the ministry added.
Biden highlighted the restoration of direct military-to-military contacts, saying they would prevent miscalculations between the two countries and also indicted he had the ability to speak to Xi directly.
"That's how accidents happen, misunderstandings, so we're back to direct, open, clear, direct communications," Biden said.
"We're going to continue to preserve and pursue high-level diplomacy," he added. "To keep the lines of communication open, including between President Xi and me. He and I agreed that each one has to pick up the phone call directly and be heard immediately."
Chinese shares trading in Hong Kong lost as much as 2% in Thursday morning trading Beijing time. The onshore yuan weakened 0.17% at 7.2592 per dollar.
The leaders of the world's two largest economies had not spoken for a year. Both sides celebrated the meeting, which lasted over four hours, as productive, and a step toward normalizing a relationship battered by a series of diplomatic and economic clashes. The agreements though largely roll back steps China took following former House Speaker Nancy Pelosi's trip to Taiwan - made over the objection of Beijing.
Asked if he trusted Xi, Biden responded, "Trust but verify as the old saying goes, that's where I am." He said the US intended to "compete vigorously" with China, but added "we'll manage that competition responsibly, so it doesn't veer into conflict or accidental conflict."
As he ended the press conference, though, Biden referred to Xi as a "dictator," repeating remarks that sparked criticism from China earlier this year.
"Look, he is. He's a dictator in the sense that he's a guy who runs a country that is a communist country that's based on a form of government totally different than ours," Biden said.
Choreographed Summit
Biden's off-the-cuff remark followed a day of carefully choreographed meetings that saw the two leaders meet on the sweeping grounds of the Filoli estate in the town of Woodside, about 25 miles south of San Francisco. The summit went multiple sessions and included a working lunch featuring herb ricotta ravioli, heritage chicken and almond meringue cake, as the pair and top aides huddled in a secluded century-old Georgian manor.
The meeting saw an extended discussion of foreign policy, with US officials saying they believe Xi indicated he wasn't readying plans for a mass invasion of Taiwan. Biden asked the Chinese to respect the electoral process in the island's upcoming presidential vote, the officials said, speaking on condition of anonymity.
Biden said he reiterated the US's One China policy, and "that I'm not going to change that."
US officials also pressed Chinese counterparts to discuss the conflict between Israel and Hamas with Iran, which financially supports the militant group categorized as a terrorist organization by the US and EU.
The deal from China on combating fentanyl was characterized by senior US officials as the most important agreement from the summit. The officials said Biden told Xi that fentanyl posed one of the worst drug problems the US had faced. The officials said they would watch closely to see if China follows through on the pledge.
Biden said the agreement helps "significantly reduce the flow of precursor chemicals and pill presses from China to the Western Hemisphere."
"It's going to save lives and I appreciate President Xi's commitment on this issue," he said.
The move to recharge senior military-to-military communications was also high on the agenda following a series of close encounters between Chinese and American ships and planes in recent months.
China agreed to policy level discussions with US Defense Secretary Lloyd Austin, as well as operational engagements at senior military levels, according to the US officials. That restores communications channels China halted last year to protest Pelosi's visit to Taiwan.
Since then, US officials have pushed hard to resume the talks. US Secretary of State Antony Blinken detailed a Chinese jet's intercept of a US B-52 in international airspace over the South China Sea during Foreign Minister Wang Yi's recent visit to Washington, according to a person familiar with the discussion.
Blinken noted the table he and Wang were sitting at was 10 feet - the same space between the two aircraft during the incident - to highlight the need to restore communications to prevent conflict, according to the person, who spoke on the condition of anonymity.
China said the two countries had agreed to manage disagreements more effectively and have more dialogues and consultations to avoid misunderstandings.
"It is important that they appreciate each other's principles and red lines, and refrain from flip-flopping, being provocative, and crossing the lines," according to a statement released by the Ministry of Foreign Affairs.
On artificial intelligence, the two sides agreed to a dialogue to keep the emerging technology from being deployed in ways that could destabilize global security, according to US officials. The meeting also saw an agreement to work to increase flights between the two countries next year, according to Xinhua news agency.
Ahead of the summit, the US and China also released a statement detailing new commitments to cooperate on climate change, with promises to build carbon-capture facilities, curtail power sector pollution and take aim at the full suite of greenhouse gases helping warm the planet.
Not all of the conversation was serious. Biden and Xi, who have known each other for years and used to meet when both served as their countries' respective vice presidents, traded memories of previous interactions. At one point, Xi jokingly thanked Biden, who is celebrating his birthday next week, for reminding him that his wife's celebration was also coming up.