Starmer Secures China Trade Wins Amid Trump Warnings

UK Prime Minister Keir Starmer’s recent diplomatic foray into Beijing has set off a flurry of international reactions, underscoring the complex web of alliances and rivalries shaping global trade and politics in 2026. Starmer’s three-hour meeting with Chinese President Xi Jinping on January 29 was not only the first visit by a British leader to China since 2018, but it also unfolded against a backdrop of mounting tension between Western allies and an unpredictable White House.

According to multiple reports, including those from BBC and Financial Times, the meeting between Starmer and Xi was described by both sides as “friendly and constructive.” The session, which lasted twice as long as originally scheduled, delved into topics ranging from economic cooperation to cultural touchstones—yes, football and Shakespeare even made the agenda. Yet, beneath the cordiality, the stakes were unmistakably high.

Starmer’s visit comes at a time when Western leaders are nervously watching the United States’ shifting posture toward China. Just days before, U.S. President Donald Trump had rattled allies with threats of 100% tariffs on Canada for striking deals with Beijing, and he didn’t mince words when asked about the UK’s pursuit of closer ties. “Well, it’s very dangerous for them to do that,” Trump told reporters in Washington, as quoted by Reuters, before attending the premiere of the film "Melania" at the Kennedy Center. He offered no further elaboration, but the warning hung in the air.

Despite the White House’s saber-rattling, Starmer pressed ahead with what he called a “more sophisticated relationship” with China. As reported by The Guardian, Starmer highlighted tangible achievements from the visit: agreements on visa-free travel for British citizens to China for up to 30 days, both for tourism and business, and a reduction in tariffs on Scotch whisky exports. “It’s really important access, symbolic of what we’re doing in the relationship,” Starmer told the UK-China Business Forum in Beijing. “This is how we build the trust and mutual respect that are so important.”

The prime minister didn’t travel alone. His delegation included Chancellor Rachel Reeves, Business and Trade Minister Peter Kyle, and a battalion of business leaders from major British and European firms such as Airbus and Jaguar Land Rover. Their presence signaled the UK’s intent to reset its economic engagement with the world’s second-largest economy after years of frosty relations.

One early sign of success came from the pharmaceutical sector. AstraZeneca, the British-Swedish pharmaceutical giant, announced a $15 billion investment in China, with plans to open at least four new manufacturing plants and create 20,000 jobs. According to Il Sole 24 Ore, this move marks the first major deal to emerge from Starmer’s pragmatic approach, which he described as “aiming for new positive trade agreements and closer cooperation.”

Starmer also met with Chinese entrepreneurs, including Yin Tongyue, CEO of carmaker Chery. A city official present at the talks confirmed that Chery intends to open a research and development center for commercial vehicles in Liverpool—a tangible boost for the UK’s industrial ambitions.

But the trip wasn’t just about trade. Starmer and Xi discussed ways to collaborate on tackling illegal immigration, particularly through intelligence sharing to monitor human trafficking routes. This is a practical concern for the UK, as many of the boats and engines used for Channel crossings are manufactured in China. Starmer’s team hopes that closer cooperation could help stem the flow of illegal migration, a pressing issue back home.

Still, questions lingered about the risk of antagonizing Washington. Starmer was quick to reassure both the press and his American counterparts that the UK would not have to choose between its longstanding alliance with the United States and its burgeoning ties with China. “The relationship we have with the United States is one of the closest … that we have,” he told reporters en route to Beijing, citing deep cooperation in defense, security, intelligence, and trade. He pointed to President Trump’s visit to the UK in September, which saw the announcement of £150 billion in U.S. investment, as evidence of enduring transatlantic ties.

According to a senior UK government official, Washington was given advance notice of London’s objectives for the China trip—a sign of the delicate balancing act Starmer is attempting. “Britain doesn’t have to choose between closer ties with the U.S. or with China,” Starmer insisted, emphasizing the need for strategic autonomy while maintaining strong Western alliances.

Not everyone in Washington was convinced. Trump’s Commerce Secretary, Howard Lutnick, expressed skepticism about the prospects for British exports to China. “The Chinese are the biggest exporters and are very, very difficult when you try to export to them,” Lutnick told journalists. “So good luck if the British want to export to China … it’s just unlikely.” When pressed on whether Trump might threaten the UK with tariffs—just as he did with Canada—Lutnick replied, “Unless the British prime minister goes against the United States and says very difficult things, I doubt it.”

Starmer, who has traditionally avoided public criticism of Trump, has lately shown a willingness to push back. He recently called on Trump to apologize for “frankly shocking” comments regarding NATO soldiers allegedly avoiding frontline combat and flatly rejected Trump’s demands for the UK to support the annexation of Greenland.

The geopolitical context for these developments is nothing if not fraught. As ISPI Online notes, the landscape is shifting rapidly, with countries like France and Germany also moving to strengthen ties with Beijing. French President Emmanuel Macron’s December visit with Xi, which included a rare excursion outside the Chinese capital, and the expected upcoming visit from German Chancellor Friedrich Merz, reflect a broader European recalibration in response to U.S. unpredictability.

For China, the outcome of Starmer’s visit is being framed as the foundation for “a long-term strategic partnership” with the UK. The Chinese government hailed the pragmatic tone of the talks and the prospect of future collaboration, especially as Britain seeks new economic opportunities in a post-Brexit world. For Starmer, the trip was a chance to showcase progress on the international stage and deliver concrete wins at home—at a time when his Labour government has struggled to spark the economic growth it promised.

Whether these overtures will translate into a lasting realignment remains to be seen. Trump, for his part, is planning his own trip to China in April, which could further complicate the diplomatic chessboard. For now, Starmer’s gamble on a pragmatic, multipolar approach appears to have yielded some early dividends—and a few diplomatic headaches along the way.

As the dust settles, Britain’s leaders are left to navigate a world where old loyalties and new opportunities are increasingly at odds, and where every handshake in Beijing is watched closely from Washington and beyond.