During a summit in Washington last month, US President Donald Trump urged Chinese President Xi Jinping to ease export restrictions imposed on Japan and encouraged direct talks between leaders of the two countries as tensions continue to rise. Sources familiar with the discussions said Trump raised concerns about Beijing’s export curbs, including limits on rare earth elements that have affected Japanese industries and, by extension, American companies reliant on Japanese suppliers.

Trump characterized the Chinese measures as indirect violations of the trade truce between the United States and China that was agreed upon in Busan last October. He also proposed that Xi meet with Japanese Prime Minister Sanae Takaichi to help repair the strained bilateral relationship. However, according to these sources who spoke on condition of anonymity, Xi was unreceptive to Trump’s requests, emphasizing that the China-Japan dispute should remain separate and not impact China’s ties with the United States.

Japan had previously sought a meeting between Takaichi and Xi on the sidelines of the upcoming Asia-Pacific Economic Cooperation summit in Shenzhen, but Beijing declined, instead offering Takaichi a meeting with Premier Li Qiang. Tokyo reportedly indicated it would reject such a substitute meeting, insisting on talks directly with Xi.

The diplomatic freeze between Japan and China has deep roots, dating back decades to historical grievances, a territorial dispute in the East China Sea, and ongoing geopolitical rivalries, despite strong economic and cultural links. Relations deteriorated sharply in November after Prime Minister Takaichi stated that a crisis over Taiwan could pose an existential threat to Japan and justify a military response. Beijing condemned the remarks, viewing Taiwan as a critical “red line” and warning against any sign of Tokyo’s military expansion.

In retaliation, China has suspended official and cultural exchanges with Japan, canceled direct flights, and restricted exports of dual-use materials, including rare earths vital to Japan's defense industries. Meanwhile, Japan has enhanced its military posture by deploying offensive missiles and conducting exercises near its southwestern islands close to Taiwan. It has also strengthened security cooperation with the Philippines, which is engaged in maritime disputes with China in the South China Sea.

Takaichi met with Trump the day before Xi’s arrival in Washington. Following the summit, Trump contacted Takaichi to provide detailed updates on the discussions. Takaichi described the US-Japan alliance as a cornerstone for regional and global peace and stability.

Neither the official White House nor Chinese briefings on Xi’s visit explicitly addressed Japan, though both sides referenced Japan’s wartime history during formal events. Chinese statements highlighted the shared sacrifices of the United States and China in World War II fighting Japanese militarism, a theme Xi reiterated at a state banquet.

Recent diplomatic gestures include the highest-level Japanese delegation visit to Beijing in nearly a year, when Foreign Minister Wang Yi and Vice Premier He Lifeng hosted former Japanese foreign minister Takeshi Iwaya. Wang acknowledged the "severe situation" in ties and called on Japan to correct what Beijing deems its leadership’s “erroneous words and deeds” on Taiwan.

Despite ongoing tensions, Takaichi reiterated in a policy speech that China remains an “important neighbour” and expressed Japan’s intention to pursue a stable bilateral relationship.