• Research
  • Diwan
  • About
  • Experts
Carnegie Middle East logoCarnegie lettermark logo
LebanonIran
{
  "authors": [
    "Douglas H. Paal"
  ],
  "type": "legacyinthemedia",
  "centerAffiliationAll": "dc",
  "centers": [
    "Carnegie Endowment for International Peace",
    "Carnegie China"
  ],
  "collections": [
    "China’s Foreign Relations",
    "Belt and Road Initiative"
  ],
  "englishNewsletterAll": "asia",
  "nonEnglishNewsletterAll": "",
  "primaryCenter": "Carnegie China",
  "programAffiliation": "AP",
  "programs": [
    "Asia"
  ],
  "projects": [],
  "regions": [
    "East Asia",
    "China",
    "North America",
    "United States"
  ],
  "topics": [
    "Political Reform",
    "Economy",
    "Trade"
  ]
}

Source: Getty

In The Media
Carnegie China

2017, the Year Chairman Xi Will Come Into His Own

After five years of consolidating power, Xi Jinping will emerge stronger than ever before. For this year at least, Xi will play the role of global leader, and the world will be better for it.

Link Copied
By Douglas H. Paal
Published on Mar 9, 2017

Source: South China Morning Post

A provocateur took over the White House in January amid calls to delegitimise and penalise China. Yet Beijing has maintained a calm, cool demeanour, and is seeking quietly to find a modus vivendi with the Trump administration. China deflected calls to take on global responsibilities for years, but Xi Jinping ( 習近平 ) became the first Chinese top leader to attend the World Economic Forum in Davos in January, and claimed the mantle of leading globalisation as the US slumps away from that role.

How do we explain the twists and turns in behaviour? On the US side, most of what is happening is transparent. Donald Trump ran an outsider’s campaign and now seeks to upend many of the establishment’s sacred cows. Subject to constitutional checks and balances, however, Trump is increasingly likely to be hemmed in and restrained by realities as his term plays out.

In China, by contrast, politics is mostly conducted in a Beijing black box, and I think what we are seeing from outside that box is the empowerment of Xi. To paraphrase Winston Churchill after the battle of El Alamein, we are witnessing not the beginning of the end, as Xi enters his fifth year in power, but the end of the beginning. Beijing is saying goodbye to Xi Jinping Operating System 1.0, and orchestrating the roll-out of Xi Jinping 2.0, to finish his consolidation of power later this year at the 19th party congress. Unlike American presidents who tend to weaken with time, Chinese leaders tend to do the opposite.

China is deploying its soft power internationally to maximise Xi’s hard power at home and abroad. Xi was hemmed in by compromises struck among his predecessors before he took over the party leadership in 2012. He was saddled with a Politburo Standing Committee largely not of his own choosing. The party bureaucracy was riddled with people who did not support or would not enthusiastically implement his agenda. Promises of reform were blunted by failures to respond. But from the start, Xi could be seen crowding out potential rivals for key roles. He became the Chairman of Everything.

Clearly, that situation is set to change. Since the middle of last year, close observation showed that new officials are being promoted. Xi is repositioning loyalists and those who will become loyal to him so as to govern with a firmer hand in his second five-year term in office.

For the short term, certainly this calendar year, this is probably good news for the rest of the world as Xi plays the role of a world leader. Thus we saw Xi break with precedent to attend the Davos summit, adopting a striking – and many would say a hypocritical – globalist tone in contrast with Trump’s new economic nationalism.

Then we received the announcement of Xi’s first presidential phone call with Trump, in which Xi persuaded Trump to honour the “one China policy”, after the US leader called this sensitive policy foundation into question in December. This was followed by a successful visit to Washington by State Councillor Yang Jiechi ( 楊潔箎 ). All signs suggest preparations are being made for an early Xi visit to the US.

Such a visit would give Xi the opportunity to show his people that he can manage successfully the most important and sensitive bilateral relationship in the world. It would follow the “two sessions” – the annual meetings of the National People’s Congress and the Chinese People’s Political Consultative Congress – now under way, where Xi is demonstrating his role as “the core” of the Central Committee of the party.

Other big stages this year for the roll-out of Xi Jinping 2.0 will be the “One Belt, One Road” summit of more than 20 leaders in May, hosted in Beijing by Xi to showcase his most important foreign policy innovation to date. This will be followed by events in Hong Kong marking the 20th anniversary of the city’s reversion to the mainland, which Xi is expected to attend.

The leaders of the G20 nations will meet midsummer in Hamburg, Germany, beset by America’s new policy directions and a rise in nationalism among many of their home electorates. Xi will be well positioned to stand in confident contrast with many of his counterparts.

This must be a welcome platform for Xi as he prepares to launch into the annual informal leadership meetings in Beidaihe, in August, the final stage of preparation for this autumn’s 19th party congress.

As I noted above, this is probably mostly good news for the outside world, as China’s leader tries to put his best face forward.

But there is another edge to this sword. A leader with such sweeping claims to power and authority must also vigorously defend China’s most sensitive interests against perceived insults.

If, for example, Trump throws up punitive tariffs and barriers to trade against China, we should fully expect Xi and China to reciprocate. If China senses an erosion of its principles on the sensitive issues surrounding Taiwan and the East and South China seas, we should not be surprised if Xi lashes out in response.

And when the second term of party general secretary Xi begins at the end of the year, we should remember that he will already be empowered and less in need of demonstrating his diplomatic savvy and more in need of demonstrating results.

Some of that could be very uncomfortable for those of us outside China.

This article originally appeared in the South China Morning Post.

About the Author

Douglas H. Paal

Distinguished Fellow, Asia Program

Paal previously served as vice chairman of JPMorgan Chase International and as unofficial U.S. representative to Taiwan as director of the American Institute in Taiwan.

    Recent Work

  • Paper
    America’s Future in a Dynamic Asia

      Douglas H. Paal

  • Q&A
    U.S.-China Relations at the Forty-Year Mark
      • +1

      Douglas H. Paal, Tong Zhao, Chen Qi, …

Douglas H. Paal
Distinguished Fellow, Asia Program
Douglas H. Paal
Political ReformEconomyTradeEast AsiaChinaNorth AmericaUnited States

Carnegie does not take institutional positions on public policy issues; the views represented herein are those of the author(s) and do not necessarily reflect the views of Carnegie, its staff, or its trustees.

More Work from Malcolm H. Kerr Carnegie Middle East Center

  • Paper
    Egypt’s Military Landlord Economy and its Limitations

    The armed forces champion a form of capitalism that is generating revenue, but its reliance on rent faces diminishing returns, leaving the country with massive sunk costs and deferred returns, deepening dependency on external borrowing.

      Yezid Sayigh

  • Article
    From Hormuz to the Maghreb: The Geopolitical Reach of a Gulf Crisis

    Morocco and Algeria, each in its own way, are having to navigate the global economic fallout of the U.S.-Israeli military campaign against Iran.

      Yasmine Zarhloule

  • Commentary
    Diwan
    New Syria, Old Lebanon: Absence of the State

    Any move by the United States to make good on Trump’s suggestion that Washington persuade Damascus to confront Hezbollah militarily would have catastrophic consequences. 

      Kheder Khaddour

  • Commentary
    Diwan
    Lebanon Should Try to Place Hezbollah on the U.S.-Iran Table

    As talks begin between Washington and Tehran, Beirut has an opening to advance a regional plan for the party’s disarmament.

      Michael Young

  • Commentary
    Diwan
    Board Up Donald Trump’s Failed Board of Peace

    What is behind Marco Rubio’s announcement that the body is now an international nongovernmental organization?

      • Zaha Hassan

      Zaha Hassan

Get more news and analysis from
Malcolm H. Kerr Carnegie Middle East Center
Carnegie Middle East logo, white
  • Research
  • Diwan
  • About
  • Experts
  • Projects
  • Events
  • Contact
  • Careers
  • Privacy
  • For Media
Get more news and analysis from
Malcolm H. Kerr Carnegie Middle East Center
© 2026 Carnegie Endowment for International Peace. All rights reserved.