U.S. President Donald Trump has signaled a possible delay to his planned summit in Beijing, originally scheduled for March 31 to April 2, as Washington pressures China to help reopen the Strait of Hormuz. Trump stated in an interview with the Financial Times that he expects China to assist in unblocking the strait before his visit, emphasizing that the two weeks leading up to the meeting are 'a long time' and that the U.S. wants clarity before proceeding. He remarked, 'We may delay,' without specifying a new timeline for the summit [1].
The summit would mark Trump's first visit to China since 2017 and follows a one-year truce in the trade war agreed upon by Trump and Chinese leader Xi Jinping during their meeting in Busan five months ago. Treasury Secretary Scott Bessent met with his Chinese counterpart He Lifeng in Paris to discuss the summit, but Beijing has not yet confirmed the dates and typically announces such plans closer to their scheduled start [1].
Trump framed China's cooperation on Hormuz as a matter of self-interest, claiming that China sources about 90% of its oil through the strait. However, data from Rush Doshi of the Council on Foreign Relations and Nomura indicate that seaborne oil imports via Hormuz now account for less than half of China's total oil shipments, and only 6.6% of China's total energy consumption comes from oil flows through the strait. Beijing has spent two decades diversifying its energy sources and holds an estimated 1.2 billion barrels of onshore crude stockpiles, enough to meet demand for three to four months [1]. Satellite imagery shows Iran continues to ship large amounts of crude oil to China despite the ongoing conflict [1].
Analysts cited in the article suggest Beijing is unlikely to comply with Trump's demand to send naval vessels to help reopen the Strait, and question whether Trump is serious about canceling the Beijing summit [1].
CONCLUSION
Trump's threat to delay the Beijing summit introduces uncertainty into U.S.-China relations, but China's diversified energy strategy and substantial reserves reduce its vulnerability to disruptions in the Strait of Hormuz. Market participants may view the situation as a medium-impact event, with the summit's timing and outcome remaining unclear.