Future-proofing US-China relations

US National Security Advisor Jake Sullivan is in Beijing for talks aimed at future-proofing ties with China. [View in browser]( [Bloomberg]( Welcome to Balance of Power, bringing you the latest in global politics. If you haven’t yet, sign up [here](. US National Security Advisor Jake Sullivan [arrived in Beijing today]( for talks aimed at future-proofing fragile ties with China, as the Asian nation’s spats with American allies continue to deepen. In the first visit by an official of his rank in eight years, Sullivan’s meetings with Foreign Minister Wang Yi will see the two men continue a regular dialog — known as the “strategic channel” — designed to maintain guardrails on the relationship. With America’s tight presidential election in November looming, China’s economy in the doldrums and a US-led global tariff war escalating, they’ll have plenty to discuss during the three-day trip. Hours before Sullivan’s arrival, Canada [announced a slew of tariffs]( on Chinese-made EVs, steel and aluminum exports, with Ottawa mulling more curbs on chips and critical minerals. America’s partners are aligning with Washington’s strategy to block a flood of cheap exports from the world’s No. 2 economy, and [clip Beijing’s access]( to cutting-edge technology. A Chinese military aircraft [breaching Japanese airspace]( for the first time on record yesterday underscored rising tensions with America’s regional allies, after recent clashes over disputed waters with the Philippines. While China has vowed to raise “[serious concerns]( about trade and military issues with Sullivan, officials no longer enter such meetings from the position of helming an unstoppable economic juggernaut. A $55 billion stock crash in Temu-owner PDD Holdings this week was the latest warning sign the nation’s growth engine is slowing. Beijing is unlikely to get any respite from its biggest rival, with both American presidential candidates, Donald Trump and Kamala Harris, expected to remain tough on China, if elected. For Sullivan, his first — and likely last — trip to China in his current role offers a chance to smooth the path for the next administration, helping to prevent a change in tenancy at the White House sending relations into a tailspin.— [Jenni Marsh]( WATCH: Sullivan arrived in Beijing today for a trip that will include a meeting with Chinese Foreign Minister Wang Yi. Source: APTN Global Must Reads International Atomic Energy Agency Director General Rafael Mariano Grossi is leading a visit today by monitors of the United Nations atomic watchdog to a nuclear power plant on Russian soil that’s near territory seized by Ukraine in a cross-border incursion. The Soviet-era technology in operation at the site is [particularly vulnerable to a Chernobyl-like accident]( if hit by artillery or rocket fire, he told Bloomberg TV last week. US President Joe Biden commended Indian Prime Minister Narendra Modi on a call yesterday for urging a [peaceful end to the Russia-Ukraine conflict]( following his visit to Kyiv. The trip last week, when Modi indicated his support for Ukraine’s sovereignty, has been seen as an attempt to balance India’s relations with the US and Russia, roughly a month after his public embrace of President Vladimir Putin in Moscow angered American officials. French President Emmanuel Macron will continue consultations on appointing [a prime minister]( after yesterday ruling out a government led by leftist candidate Lucie Castets in favor of a possible centrist coalition. Meanwhile, Marine Le Pen’s National Rally is vowing to [better scrutinize candidates]( as part of a root-and-branch overhaul after it suffered a surprise defeat in the snap election Macron called in June. Europeans may miss out on some of the latest artificial intelligence technology after companies such as Apple and Google [decided to withhold]( some their most advanced features — an ominous escalation of their long-running conflict with the European Union. The firms argue that EU policymakers are threatening to stunt the progress of a fantastically useful technology, while the bloc’s officials say taking a lax approach could compound the damage that Silicon Valley’s dominance over the industry is already causing. A mission that was supposed to signal the US government’s reduced reliance on Elon Musk’s SpaceX is ending with NASA looking to it for help to [bring its astronauts home]( from the International Space Station. The two will be forced to return on a previously scheduled February flight aboard SpaceX’s Crew Dragon, highlighting the influence the billionaire and his company have over America’s ambitions in outer space. WATCH: NASA is calling on SpaceX to bring back astronauts stuck at the ISS. Source: Bloomberg TV The UN has stopped humanitarian operations in Gaza after an Israeli evacuation order, the most serious [obstacle to aid deliveries]( amid a deepening crisis that’s seen the area’s first case of polio in 25 years. The United Arab Emirates asked French officials for access to the detained founder of Telegram, Pavel Durov, who’s a citizen of the Gulf state and is being held over claims that [the messaging service failed]( to properly address criminal activity. A key congressional committee approved President Andres Manuel Lopez Obrador’s plan to overhaul the Mexican judicial system, paving the way for Congress to consider the controversial proposal that opponents say will [put democracy at risk](. UK Prime Minister Keir Starmer warned that his government’s October budget statement will be “painful” as he used his first major speech in office [to lay the ground]( for likely tax rises. Washington Dispatch Less than a month before early voting begins in some states, Special Counsel Jack Smith is [asking an appeals court]( to revive the criminal case that charges Trump with mishandling classified documents and obstruction. A federal judge in Florida, Aileen Cannon, ruled in July that Smith’s appointment was unconstitutional, meaning that the entire prosecution was unlawful. Smith’s office argues that Cannon, a Trump appointee, was wrong to throw out the case and warned her reasoning could cast doubt on the lawfulness of hundreds of officials across the executive branch. The appeal will almost certainly not be resolved before Election Day. The Florida case is one of two that Smith brought against Trump. In Washington, where the former president is accused of conspiring to obstruct the 2020 election, the special counsel’s office is considering its next move after the US Supreme Court ruled over the summer that he was immune from charges related to his official acts as president. One thing to watch today: The Conference Board’s gauge of consumer sentiment for August is expected to show an improvement. [Sign up for the Washington Edition newsletter]( for more from the US capital and watch Balance of Power at 1 and 5 p.m. ET weekdays on Bloomberg Television. Chart of the Day Australia will limit visa approvals for foreign students from next year, becoming [the latest country]( to crack down over migration concerns, with Canada, the Netherlands and the UK all implementing or considering measures targeting tertiary education. University representative bodies oppose the move, arguing that it will damage the sector. International students contributed A$48 billion ($32.5 billion) to the Australian economy in 2023, making it the country’s top services export. And Finally Less than two decades ago, the area along the banks of the Waterworks River in east London was home to a giant pile of dumped refrigerators and other white goods that ranked as one of the UK capital’s worst eyesores. It’s since been replaced by pristine parks, a state-of-the-art ballet theater and a fashion school. There’s also a Zaha Hadid-designed aquatics center used for the 2012 Olympics and now a facility for local swimmers. The transformation is a result of the rebuilding of the area for the Summer Games, a [process continuing even now](. Construction of the Olympic Stadium and surrounding area in east London in November 2008. Photographer: Chris Ratcliffe/Bloomberg More from Bloomberg - Check out our [Bloomberg Investigates]( film series about untold stories and unraveled mysteries - [Bloomberg Opinion]( for a roundup of our most vital opinions on business, politics, economics, tech and more - [Next Africa]( a twice-weekly newsletter on where the continent stands now — and where it’s headed - [Economics Daily]( for what the changing landscape means for policy makers, investors and you - [Green Daily]( for the latest in climate news, zero-emission tech and green finance - Explore more newsletters at [Bloomberg.com](. Follow Us Stay updated by saving our new email address Our email address is changing, which means you’ll be receiving this newsletter from noreply@news.bloomberg.com. 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