TM MAGAZINE May 19, 2026
The 2026 US-China Summit Was a Business Deal That Traded Away Japan, South Korea, and Taiwan
At the US-China summit, held for the first time in nine years, President Trump was accompanied not by diplomats but by a group that looked as if it were heading to a business negotiation. In substance, the meeting was held to "trade Japan, South Korea, and Taiwan." The illusion that "America will protect Japan" has vanished completely.
Last week, over two days beginning on May 14, the first US-China summit in nine years was held. The mass media have been absorbed in what the two great powers intend, but what has not been reported in Japan is that on the 12th, the day President Trump set off for Beijing, the US administration was thrown into fierce turmoil.
It began when classified data on the Iran war leaked from US intelligence agencies and someone passed it to the New York Times. On the 12th, the Times published an article under three bylines titled “U.S. Intelligence Shows Iran Retains Substantial Missile Capabilities.”
The source has not been revealed, but the leak is said to have come from someone deeply familiar with the inner workings of the eighteen intelligence agencies of the United States, and classified information from bodies such as the Office of the Director of National Intelligence (DNI) has been leaked. It is a whistle-blowing, a revolt even, from inside the administration, as shocking as the leak of state secrets by Snowden in his day, or more so.
The leaked data said two main things.
One was that President Trump’s statements about how much of Iran’s weaponry remained had been proven false by the classified data of the national intelligence agencies. The other was that China had been supplying Iran with weapons and military support under the surface.
Trump has repeatedly said that, thanks to the joint operation of the United States and Israel, “Iran has been subdued” and “we have won.” The leak, however, sets out an analysis showing that 70 to 80 percent of the ballistic missiles and launchers Iran holds around the Persian Gulf remain intact. The Iran war is now at a complete stalemate, and an information war is being fought between the Iranian side, which has already won, and the American side, which has lost. The Trump administration, refusing to admit defeat, keeps repeating what sounds like declarations of victory and has drawn scornful laughter from the Iranian side. The basis for those declarations was the claim that Iran had been subdued, and the leak of classified US information has exposed it to the world as a lie.
The other point is China’s involvement. President Xi Jinping (born 1953) has not acknowledged any Chinese involvement in the Iran war, and until now the Trump administration has not acknowledged it either. Yet Trump, as if panicked by defeat in the Iran war, abandoned the war halfway and went to meet China’s President Xi, who should have been an enemy in wartime.
According to reports so far, the American side made no request to China concerning an end to the Iran war and spoke defiantly, saying that “the United States can handle it alone.” The leak, though, exposes that this tough talk was also a lie and that, in reality, it turned into a negative campaign in which the American president advertised himself as a puppet dancing in Xi Jinping’s hands. Trump, in other words, was defeated by China.
Trump shook hands with Xi Jinping and proclaimed to the world that “the deal with China went well” and that it was “a wonderful relationship,” but behind the scenes China is supplying weapons to Iran. If Trump knew this, then he has been caught staging a success and deceiving the American people while knowing China was lying, and the image he has built will be shattered. This is expected to have a considerable effect on the midterm elections in November.
And there is one more thing. If it is true that China is giving military support to Iran, it suggests that through the Iran war we have already entered World War III without noticing. Since the war began in February, its structure has been described as “the United States and Israel” against “Iran and its surrounding forces.” If China has intervened on the latter side, this can be reread as the decisive moment in which the United States and China in effect clashed, and the United States lost.
Looking at this US-China summit, its main feature is plain. On one side is the United States, whose domestic order has already collapsed and which is heading toward civil war, and on the other is China, which holds its domestic order firmly together. As for the recent American pressure on China using tariffs as a weapon, not a single figure shows any decline on the Chinese side, and it has become clear that the American tariff offensive dealt China no fatal blow. The United States, once a world empire, has now been defeated by China in two respects, the economy and international governance.
As long as China supports Iran, it is clear that the United States cannot embark on a large-scale attack on Iran such as a ground war. After all, with China, a giant military factory, continuing to back Iran, there is no conceivable way for the United States to win militarily. That leaves only one option, dropping a nuclear weapon.
The Trump administration (and the US economy) has neither the strength nor the room to take on China in an all-out confrontation. Trump himself and the US intelligence agencies, in other words, know that Xi Jinping’s words, “we are not supporting Iran,” are a lie. Knowing it, they are putting on a desperate act of accepting the lie as truth, solely to preserve American hegemony and the president’s own appearances.
Senior officials of the Trump administration, enraged by a leak from the highest internal bodies, are now moving to control the domestic media and identify the whistle-blower, with China pushed to the side. On Trump’s orders, FBI Director Kash Patel and Acting Attorney General Todd Blanche have already launched internal investigations of the intelligence agencies, administering lie detector tests to staff and threatening to subpoena the New York Times and its reporters to find the source of the leak. Events are being driven by personal rage that ignores the American whistle-blower protection laws.
In response, more and more commentators in the United States believe that the country will fall into civil war in earnest around the midterm elections in November, and many see this summit as a complete victory for China. Indeed, Trump, yielding to Xi Jinping’s strongest demand ever, “do not interfere with the unification of Taiwan,” said that “Taiwanese independence advocates should keep quiet” and that he does “not want to see Taiwanese independence.” Whose country is Taiwan, then?
The fact that the United States has already been defeated by China shows the multipolar world I described the other day taking shape. In the midst of all this, China is spoken of as the winner, but the true winner may be the New York Times, with the largest number of subscribers in the world. After all, according to the financial results the Times released on May 6, its paid subscribers, digital and print combined, passed 13 million for the first time.
What is more, untouched by the worldwide decline of the media, the New York Times alone keeps adding subscribers, and it has set a milestone of 15 million by the end of 2027. Fifteen million exceeds the population of Tokyo, the largest city in the world, with its 14.3 million people. The New York Times, in other words, is no longer a mere news outlet but a vast sphere with a world and citizens (its subscribers) of its own, and its subscribers are all over the globe.
The contents of the talks will probably never be revealed, but it is highly likely that a secret agreement was made to hand over to China the postwar interests the United States holds in Japan and South Korea. Taiwan in particular is being left out of the US-China discussions while the future of its own country is traded away without its say. Personally, I see two things in the near future that this summit suggests.
One is that the likelihood of Korean unification has risen. The other is that Japan’s suzerain will change from the United States to China.
With this, the withdrawal of US forces from Japan will gradually proceed, and rearmament will become unavoidable. Nuclear armament (including weapons rented from the United States), turning the Self-Defense Forces into a military, and something close to conscription are now on a set course that will surely be realized within our lifetimes, and it is best to assume that the children of Generation Alpha, born between 2010 and 2025, will be conscripted.
And we will probably be the generation that lives through World War III. We must now fundamentally change how we design our lives, for ourselves, for those we love, for our families and our children. We are already living in wartime. The postwar era is over.
It is conceivable that the United States, in order to keep a measure of influence in East Asia, handed over its interests in Japan and South Korea to China and sold Taiwan, obtaining in return Xi Jinping’s agreement to economic support. This is evident from the fact that those who accompanied Trump were not diplomatic specialists but a lineup that looked as if it had come for a business meeting. The true nature of this US-China summit, in other words, was to “trade Japan, South Korea, and Taiwan.” Alarmed that the United States had sold their countries to China, Japan’s Prime Minister Takaichi and South Korea’s President Lee Jae-myung are holding a two-day summit in South Korea from today, the 19th, but it is best to see it as already too late. Our homeland has been sold.
Those who landed in Beijing with Trump at their head came from heavy industry and agriculture, including Boeing CEO Kelly Ortberg and Brian Sikes, chairman and CEO of Cargill, the world’s largest grain trader. From technology and finance came Apple CEO Tim Cook, Nvidia CEO Jensen Huang, Larry Fink, CEO of BlackRock, the world’s largest asset manager, Goldman Sachs CEO David Solomon, and the investor Scott Bessent. And then there was Elon Musk, who holds great influence over Trump.
Trump led these “finest representatives of American business” and personally introduced each of them to Xi Jinping, having them make presentations. That no diplomat responsible for national sovereignty or security sat with them shows that the United States has clearly mutated into a regime pursuing nothing but immediate economic gain. Moreover, it achieved little, and some even mocked it as “a business trip with no substance.”
This US-China summit has completely dispelled the illusion that “the United States will protect Japan.” Japan now faces the greatest turning point of the postwar era, in which the future of its own nation-building is being decided, regardless of its own will, by the designs of a few outsiders drowning in self-interest. From here on, Japan, South Korea, and Taiwan will face a very harsh reality, and unless they can make great and painful decisions, days will come when their people wander at the edge of life and death.
This is an age in which people’s feelings for their homeland are ignored and their countries are traded at will by outside “investors.” The bureaucracy that supports the Takaichi government, which acts as a go-between for those investors, has left the problems of people’s livelihoods unsolved and has begun to narrow its focus to constitutional revision alone. Everyone must decide on their own future by 2028. Once the constitution has been revised, Shinjiro Koizumi has become prime minister, and nuclear armament and militarization have accelerated, it will be too late to move.
In this way, the three countries will be sold off piece by piece by rulers at home and abroad, and while the people are distracted by the issue of immigration, things will move toward a state in which the “Japan” and the “Japanese” that exist today have vanished before anyone notices.
Japan depended far too much on the great lie that is America. The bill for that is only now starting to come due.