Sign up for our daily briefing

Make your busy days simpler with Axios AM/PM. Catch up on what's new and why it matters in just 5 minutes.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Catch up on coronavirus stories and special reports, curated by Mike Allen everyday

Catch up on coronavirus stories and special reports, curated by Mike Allen everyday

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Denver news in your inbox

Catch up on the most important stories affecting your hometown with Axios Denver

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Des Moines news in your inbox

Catch up on the most important stories affecting your hometown with Axios Des Moines

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Minneapolis-St. Paul news in your inbox

Catch up on the most important stories affecting your hometown with Axios Twin Cities

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Tampa Bay news in your inbox

Catch up on the most important stories affecting your hometown with Axios Tampa Bay

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Charlotte news in your inbox

Catch up on the most important stories affecting your hometown with Axios Charlotte

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Chinese police in front of the Canadian embassy in Beijing. Photo: Greg Baker/AFP/Getty Images

Just as signs emerged that China was softening on trade this week, Beijing seemed to ramp up its retaliation over the arrest of a top Chinese tech executive in Canada.

Between the lines: This confusing week in U.S.-China relations has seen signs of a major climbdown from China, over trade, in parallel with a major escalation. "The Chinese really are trying to keep Huawei and trade separate," says Axios contributor Bill Bishop.

On the one hand ...

  • Last night we learned that China has detained a second Canadian citizen, apparently in retaliation for Canada's arrest of Meng Wanzhou, CFO of Chinese telecom giant Huawei.
  • Meng was released on bail on Tuesday, but still faces extradition to the U.S. over fraud charges tied to U.S. sanctions on Iran. Her arrest infuriated Beijing, which has targeted its ire primarily at Canada, rather than the U.S.

On the other hand ...

  • The Wall Street Journal reports that China is "preparing to replace" its "Made in China 2025" initiative to dominate key high-tech sectors "with a new program promising greater access for foreign companies."
  • That follows news that China has begun to buy U.S. soybeans againand is reversing tariff hikes for U.S. autos. Trump is preparing to declare victory, telling Fox News today, "They're going to open the whole country. They want to please President Trump."

Bishop says he's hearing that the Chinese are indeed planning to make big concessions, because they understand Robert Lighthizer, the U.S. trade representative, won't "accept warmed-over promises."

"So as long as Trump keeps his resolve there may actually be a chance for some significant concessions on trade, moves that Xi can spin domestically as not due to U.S. pressure but as part of the deepening of reform."

Go deeper

Updated 21 mins ago - World

Russian police detain over 3,000 protesters demanding Navalny's release

Russian police officers beat protestesters at a rally against of jailing of oppositon leader Alexei Navalny in Moscow on Saturday. Photo: Mikhail Svetlov/Getty Images

Police in Russia on Saturday arrested more than 3,300 people as protesters nationwide demanded that opposition leader Alexey Navalny be released from jail.

Details: Demonstrations began in the eastern regions of Russia and spread west to more than 60 cities.

Updated 2 hours ago - Politics & Policy

Arizona Republicans censure Cindy McCain and GOP governor

Combination images of Cindy McCain and Gov. Doug Ducey. Photo: FilmMagic/FilmMagic for U.S.VETS/Michael Brochstein/SOPA Images/LightRocket via Getty Images

Arizona Republican Party members voted on Saturday to censure prominent GOP figures Cindy McCain, Gov. Doug Ducey and former Sen. Jeff Flake (R-Ariz.), who've all faced clashes with former President Trump.

Why it matters: Although the resolution is symbolic, this move plus the re-election of the Trump-endorsed Kelli Ward as state GOP chair shows the strong hold the former president has on the party in Arizona, despite President Biden winning the state in the 2020 election.

Updated 6 hours ago - Politics & Policy

Coronavirus dashboard

Illustration: Eniola Odetunde/Axios

  1. Health: Most vulnerable Americans aren't getting enough vaccine information — Fauci says Trump administration's lack of facts on COVID "very likely" cost lives.
  2. Education: Schools face an uphill battle to reopen during the pandemic.
  3. Vaccine: Florida requiring proof of residency to get vaccine — CDC extends interval between vaccine doses for exceptional cases.
  4. World: Hong Kong puts tens of thousands on lockdown as cases surge — Pfizer to supply 40 million vaccine doses to lower-income countries — Brazil begins distributing AstraZeneca vaccine.
  5. Sports: 2021 Tokyo Olympics hang in the balance.
  6. 🎧 Podcast: Carbon Health's CEO on unsticking the vaccine bottleneck.