Xi's address at the World Economic Forum in Davos, which was the first by a Chinese leader, could potentially signal a change in the global political landscape amidst the struggles of western democracies with populist nationalism. Despite China being a one-party communist state with strict restrictions on foreign investment, it surprisingly advocated for free markets at the event known for global capitalism. As Western nations like the US and Europe focus on protectionist and insular policies, China sees an opportunity to take on a larger role in global economic leadership. Xi warned against protectionism, comparing it to isolating oneself in a dark room and cutting off light and air, emphasizing that no one benefits from a trade war. Real estate tycoon and former reality television personality Trump, who is set to become the U.S. president on Friday, ran his campaign on the promise to take a tougher stance on China regarding trade and either renegotiate or withdraw from multinational trade agreements. Members of his team have accused China of engaging in economic warfare against the U.S. However, Xi countered these allegations of unfair trade practices by stating that Beijing would not manipulate its currency for competitive gain, as Trump has frequently claimed. Xi also urged all parties involved in the landmark climate agreement reached in Paris about a year ago to uphold their commitments, a direct message to Trump, who has expressed disapproval of the deal and hinted at the possibility of the U.S. backing out. China's aspirations were evident in the significant presence of high-ranking Chinese government officials, including Xi, at the World Economic Forum in Davos, Switzerland, a larger and more prominent delegation than in previous years. A significant number of panels at the WEF are focused on Asia, with one titled "Asia Takes the Lead." WEF founder Klaus Schwab mentioned the world's reliance on China in a time of uncertainty before introducing Xi. Former Swedish Prime Minister Carl Bildt noted on Twitter that Xi Jinping seems to be positioning himself as a global economic leader successfully. Ian Bremmer, president of Eurasia Group, tweeted that the reaction to Xi's speech at Davos was positive. Xi's appearance, which is a departure from previous official Chinese speeches, comes during a time of heightened tensions between Beijing and Trump. Trump's recent actions, including breaking with tradition by speaking to the president of Taiwan, have sparked strong reactions from Chinese newspapers. Despite Xi's portrayal of China as an open economy, criticism has been mounting over China's restrictions on foreign investments while state-run firms are actively acquiring companies in Europe. In response to these criticisms, China's cabinet announced plans to ease investment limits in financial institutions. However, no additional information was given, and there was no set timeline for when these plans would be put into action. Some officials, who chose to remain anonymous, suggested that China may be trying to capitalize on the growing divide between the United States and Europe. Bob Moritz, the global chairman of PricewaterhouseCoopers, expressed uncertainty about China's future actions on the global stage and emphasized the importance of monitoring their negotiations in the coming year to determine if they will focus more on regional or global matters. Last year, worries about a severe economic downturn in China caused turmoil in global markets at the World Economic Forum. While these concerns have lessened, the International Monetary Fund issued a warning on Monday about ongoing risks in the Chinese economy, such as heavy reliance on government spending, extensive lending by state banks, and an overheated property market. Xi attempted to provide reassurance by stating that the economy had shifted to a "new normal" driven by household consumption. Despite a slow global economy, he projected that China's economy likely grew by 6.7 percent in 2016. However, some economists at Davos remain cautious. Kenneth Rogoff, an economist at Harvard University, stated that although China remains a significant risk, it is not at the top of the list due to the United States being a major source of uncertainty.