As President Donald Trump begins a high-stakes meeting with Chinese President Xi Jinping in Beijing, attention is likely to be focused on stocks related to semiconductors, aerospace, and electric vehicles. President Trump will arrive in China for his second visit, and discussions are expected to focus on topics such as tariffs, rare earths, artificial intelligence, Taiwan, and the conflict with Iran. The summit comes as markets remain highly sensitive to U.S.-China trade policy after years of tightening regulations on technology and supply chains. Analysts and strategists said that if the two countries reach an agreement on even a modest trade deal, investors should focus on companies exposed to agricultural exports, aerospace and chip makers. In exchange for lower fentanyl-related tariffs, China could commit to buying more U.S. soybeans, corn, liquefied natural gas, and crude oil, as well as ordering more Boeing aircraft. “The U.S. wants China to commit to purchases of aircraft, agricultural products and energy supplies, but those commitments could depend on the U.S. approach to Taiwan or some reduction in tariffs or technology restrictions,” said Jack Janasiewicz, principal portfolio strategist at Natixis Investment Managers Solutions. Given Boeing Co.’s longstanding role as a major U.S. exporter and a regular bargaining chip in U.S.-China trade negotiations, the aerospace giant could emerge as one of the most obvious beneficiaries of a thaw in U.S.-China relations. CEO Kelly Ortberg was among the executives Trump invited for the visit. Analysts said China could commit to buying more Boeing planes during the Trump-Xi summit as part of a broader package related to tariff relief and trade stabilization. Any signs of new orders for the planes will be watched closely by investors, as deliveries to Chinese airlines have been disrupted due to years of strained relations. “Boeing could be the biggest commercial winner at the summit,” Bank of America analyst Ronald Epstein said in a note. Ortberg said, “Traveling with President Trump, China’s potential purchase of approximately 500 Boeing aircraft is being considered, which would be Boeing’s first major order from China in nearly a decade.” Wolf Research said it expects China to announce new commitments to buy U.S. agricultural products and energy. This could focus attention on stocks related to U.S. agricultural exports, liquefied natural gas producers and oil exporters. Still, Wolf cautioned investors not to be too optimistic about the latest announcement, noting that China has had a mixed track record of fulfilling its large purchase commitments. The company pointed to the 2020 Phase 1 trade agreement, which temporarily eased the initial trade war during the Trump administration but ultimately failed to meet its goal of import commitments from China. “That number is probably very high on paper,” strategist Tobin Marcus wrote, calling such acquisitions “the lowest-hanging fruit” in bilateral economic relations. Semiconductors Semiconductor stocks are also likely to remain highly sensitive to any signs that the Trump-Xi summit will lead to easing of export restrictions, especially for companies exposed to China’s chipmaking ambitions. Analysts at Bank of America said the talks could be a positive opening for ASML Holdings if the two sides can reach a compromise on semiconductor equipment export controls and rare earth supplies. Bank of America analyst Didier Chemama said earlier this year that “both sides have enough risks to ensure a mutually positive outcome.” “Easing of export restrictions could lead to an increase in expectations,” Bank of America said, noting a similar move last October, following a phone call between President Trump and Mr. Xi that increased supplies of rare earths and suspended a ban on exports of new semiconductor equipment for affiliates of companies on the U.S. Entity List for one year. Analysts say this contributed to the rapid recovery of China’s semiconductor market in the second half of 2025. ASML YTD peak in 2026 ASML Meanwhile, analysts at Jefferies said China’s semiconductor equipment makers could initially be sold off once export restrictions are eased, and investors could interpret a thaw as reducing the urgency to replace domestic chip equipment. “We believe China will not give up on its WFE localization goal as long-term dependence on US technology is still seen as risky,” said equity analyst Edison Li. Still, Jeffries said any weakness could be a buying opportunity because the Chinese government is unlikely to abandon its long-term commitment to semiconductor self-sufficiency. Jeffries said advanced microfabrication equipment continues to be favored in China’s semiconductor equipment sector. EV Stocks Electric vehicle stocks and battery stocks are also attracting attention. Morgan Stanley analysts reiterated their overweight rating on Contemporary Amperex Technology and said the company’s licensing deal with Ford Motor Co. could serve as a blueprint for future U.S.-China industrial cooperation if relations stabilize after President Trump and Xi Jinping’s meeting. Investors will also be watching to see whether the summit opens up broader opportunities for cross-border investing. Barclays said potential upside could come from greater U.S. acceptance of Chinese green technology investment and further liberalization of China’s financial sector for U.S. companies, but both countries are still expected to maintain controls on strategically sensitive technologies.
