Biden calling Xi a dictator a day after Blinken's visit to China is a serious attack on China's dignity and shows yet again that Biden is at odds with the truth and the diplomatic protocol. As a result, his remarks are likely to imperil recent efforts to stabilize US-China relations. The fact that Washington twisted the facts and inflated the spy balloon incident is consistent with Washington's bullying and hypocrisy toward China.
Biden's choice of words is unlikely to significantly jeopardize recent diplomatic progress. Blinken's visit underscored Washington's desire to improve relations with China, and Biden also expressed hope of meeting with Xi himself in the coming months. Beijing has a vested interest in reducing tensions with Washington for geopolitical and economic reasons, and should work with the US to continue the difficult journey of understanding.
Biden called Xi a dictator but at the same time defended him by echoing the Chinese narrative that the spy balloon was merely off course when it flew over some of the most sensitive US military installations. In reality, it was the Biden administration, not Xi, that was unaware of what was going on when the spy attack occurred, thereby jeopardizing US national security.
There's a 15% chance for war between the US and China before 2035, according to the Metaculus prediction community.