Chinese leader Xi Jinping, U.S. President Donald Trump, and Japanese Prime Minister Sanae Takaichi are expected to be in Shenzhen in November for the APEC summit. How does Tokyo view meetings between Trump and Xi, and where does Taiwan fit?

Stephen Nagy, a professor at International Christian University in Tokyo and senior fellow at the Macdonald-Laurier Institute, explains why Japan sees Taiwan as the linchpin of its security, what Takaichi’s remarks on Taiwan did and didn’t say, and how Tokyo draws its own red line, separate from that of Beijing.

He also explains why Japan’s long practice of keeping politics and economics separate has broken down, why Japanese companies are diversifying rather than decoupling, and why he expects today’s China–Japan trade boom to fade.

We also discuss what Beijing still needs from Japan, why Nagy thinks Canada’s middle-power pitch landed poorly in East Asia, and the one thing Americans most often get wrong about Japan.

Views expressed in this episode are opinions of the host and guests and do not necessarily reflect the views of The Epoch Times.

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Terri Wu is a Washington-based freelance reporter for The Epoch Times covering education and China-related issues. Send tips to terri.wu@epochtimes.com.

Show your support for Epoch Times and independent journalism by leaving a 5-star review of this show on your podcast platform or visit www.RateThisPodcast.com/chinawatch

In 2025, China eliminated 670 small rural banks—nearly one in five—as they were facing elevated financial risks. Most weren’t shut down; they were folded into larger banks. It was consolidation of an unprecedented scale.

But the risks haven’t gone away. They’re now concentrated in fewer, larger banks, often tied to local governments that are themselves deep in debt.

And the problem isn’t limited to rural lenders. Across China’s banking system, the same issues appear: layers of debt stacked on debt, shadow banking, and bad loans classified as healthy.

Chinese banks powered the country’s economic boom, but they also absorbed much of its strain. That pressure has to be released somehow. Doing so without triggering a shock may be one of the regime’s biggest challenges.

Views expressed in this episode are opinions of the host and guests and do not necessarily reflect the views of The Epoch Times.

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Terri Wu is a Washington-based freelance reporter for The Epoch Times covering education and China-related issues. Send tips to terri.wu@epochtimes.com.

Show your support for Epoch Times and independent journalism by leaving a 5-star review of this show on your podcast platform or visit www.RateThisPodcast.com/chinawatch

China's control over rare earths is already fading, but only industry insiders seem to know it, says Christopher Ecclestone, mining strategist at the financial advisory firm Hallgarten & Company.

He suggests that within three years, the West could have more rare earths than it needs, and China could lose its grip on the market.

The key to China's power, he says, is control over prices, or at least the perception of it. So what will it take for the revealing moment—when Beijing squeezes the market again, and nothing happens?

Join Terri and Chris for a lively discussion.

Views expressed in this episode are opinions of the host and guests and do not necessarily reflect the views of The Epoch Times.

—

Terri Wu is a Washington-based freelance reporter for The Epoch Times covering education and China-related issues. Send tips to terri.wu@epochtimes.com.

Show your support for The Epoch Times and independent journalism by leaving a 5-star review of this show on your podcast platform or visit www.RateThisPodcast.com/chinawatch