He Lifeng Emerges as Xi Jinping’s Key Economic Envoy Amid U.S.-China Trade Tensions

When global CEOs visited Beijing last month, they came for Xi Jinping but left impressed by Vice Premier He Lifeng. A longtime Xi confidant, He now oversees China's economy and plays a pivotal role in U.S.-China trade talks amid escalating tensions following President Donald Trump’s sweeping 145% tariffs.

Thirteen foreign investors and diplomats told Reuters that He evolved from a stiff party official into a capable figure, meeting foreigners at least 60 times in the past year. Although not known for policy innovation, He has defended China's export-driven economy and growing trade surplus, crucial for China’s job market. Analysts note He’s unlikely to soften on these issues, even as he leads economic outreach to regions like the EU and Japan.

He, a PhD in economics, had a slow start compared to predecessors like Liu He. Still, recent meetings show He’s improving communication with Western executives and delivering results. Despite Beijing denying active trade negotiations, exemptions on some U.S. goods hint at potential talks, with He at the forefront.

Foreign officials praised He’s growing sophistication, understanding of China’s economic challenges like deflation and demographic decline, and support for AI startups like Deepseek. Known in Tianjin as "He the Demolisher" for aggressive urban renewal projects, He remains a loyal executor of Xi’s directives rather than an independent policymaker.

As U.S.-China tensions persist, He Lifeng’s role as Xi’s chief economic envoy could be critical in shaping the future of bilateral relations.