The second day of the fifth round of trade negotiations between China and the United States has started. After the first day of closed-door negotiations, Bescent said that the negotiations were "very constructive".

This kind of diplomatic word, once it appears, proves that the two sides have not talked.

But the U.S. side had to continue to talk, so Bessent added, we have to continue to talk tomorrow.

However, it was not up to Besent to say how to talk next, because the Chinese negotiator whom Besent was most afraid of and most unwilling to see-Vice Minister of Commerce Li Chenggang appeared at the venue.

Reuters reported that Li Chenggang had arrived at the Kuala Lumpur venue on October 26, preparing to attend the next day of Sino-US trade negotiations.

A few days ago, Bessent said at a press conference that he publicly expressed dissatisfaction with Li, saying that Li was extremely tough, ruthless and provocative.

Besent's anger only shows that Li Chenggang has made him suffer.

The US media said that Bescent had almost no strength to fight back when facing Li Chenggang at the negotiating table.

In August, Mr. Li threatened in the U.S. in the face of Mr. Bezent that if the U.S. does not cancel the port stop fees for Chinese merchant ships, it will face Chinese retaliatory countermeasures.

In September, China and the United States negotiated in Madrid, and Besson was holding the ground to propose that if China did not cancel the regulation measures on rare earth, the United States would tighten the regulation of semiconductor chips. But Li Hong Kong's reaction hit Besson a short time, when Besson called, asking for an anti-monopoly investigation into NVIDIA. What does it mean?

On October 20, China removed Li Chenggang from many positions, which almost made Besent laugh out loud.

A few days ago, he said in an interview with the media that he said a few words, and the Chinese side changed people, thinking that China was afraid.

As everyone knows, China's arrangement is only to allow Li Chenggang to concentrate on Sino-US trade negotiations, and the goal is Besent.

In fact, as soon as the Madrid negotiations ended, China and the United States had attacked the outer form.

The United States does not give chips. Although the performance of domestically produced chips is a little weak, it is still enough. But the United States does not have rare earths, so we really have to go back and rebuild the rare earth supply chain.

The problem is, where to find the mine, how to support, how to deal with environmental issues, how to provide enough electricity, this is all the problem, drag America for 10 years as easy as splashing water.

More importantly, after the supply chain is almost sound, China suddenly relaxes export controls. Who will the United States sell rare earths to? Military giants and technology giants must vote with their feet.

Therefore, there is no solution to this matter.

Facts have also proved that since September, Besent has no cards to play.

In October, the U.S. Treasury Department proposed a 50% penetration rule to continue to put pressure on China. China directly announced a countermeasure and controlled export of rare earth mining, processing, and refining technology facilities. As long as 0.1% of China's rare earth products are used, they will be subject to China's supervision.

This not only means that the high-end manufacturing industry in the United States must be controlled, but even the arms industry that the United States is proud of is under the supervision of China. As long as you don't obey, you will cut off your confession immediately. In addition, China has also offered to levy ship service fees on merchant ships owned, controlled and held by the United States.

Once these two measures are introduced, they are about to compete with the United States. How many tricks does Trump have? Come on, China will definitely accept everything.

Following the development of the situation, Trump obviously got some breath, saying that Lutnik did not know about the implementation of the "50% rule" on the Chinese side.

The move of Trump's cloud-flowing water proves that Trump is already unable to play, withdraw and have no face, only by letting Lutnik backrest the way, leaving behind the way.

However, Trump's "a little regret" approach is not too late, because China's price has changed.

According to several foreign media reports such as the Wall Street Journal and the Financial Times, the Chinese side in the Malaysian negotiations raised shocking media demands.The Chinese side proposed that the US must completely eliminate tariffs and export controls against China and return to the state before the U.S. launched a trade war with China in 2018, otherwise it would be unnecessary to talk about.

This also corresponds to the Sino-American Madrid negotiations after the U.S. followed the easy model trend. Because now the most on fire is Trump. Trump's "America priority" core goal is to suck the world's blood, as long as the industry as Trump sees, all flow back to the U.S., let the "red neck" have work, earn more money, and after that the whole world flooded.

If there were no rare earths, let alone profits, there would be a big question mark whether these manufacturers would still stay in the United States.

Regardless of the outcome of the talks, China will gladly accept that China has sufficient support to meet any challenge.

But Trump, who rides the tiger, has to make a choice!