This report examines how the Xi–Cheng meeting reflects Beijing’s broader cross-strait strategy of combining political engagement, economic inducements, and coercive signaling to shape Taiwan’s internal decision-making environment. It finds that China is increasingly using party-to-party ties, especially with the Kuomintang, alongside narrative amplification and economic incentives to fragment Taiwan’s domestic consensus, weaken support for defense investment, and complicate U.S.-Taiwan alignment. The dominant trajectory identified is gradual political and economic absorption rather than immediate conflict, with amplified reporting and social media framing reinforcing narratives of stability, dialogue, and long-term integration under Beijing’s preferred framework.
