China’s trade stand pays off but more clashes with US to come, analysts warn
Beijing should not harbour any illusions after early win, with sticking points and structural issues still to deal with
While the White House is touting last weekend’s agreement with China to pause tariff increases as a “historic win in trade”, observers say the deal validates Beijing’s strategy.
However, they cautioned that the 90-day truce would not avoid long-term confrontations and called for early preparation to deal with the persisting sticking points and structural divide in bilateral ties.
Wu Xinbo, dean of the Institute of International Studies at Fudan University in Shanghai, said that if Beijing had not stood firm in the fight, “we would not have such a result, and China would have had to sacrifice a lot”.
“It’s best not to harbour any illusions, as Trump’s combative volatility and reckless behaviours that disregard consequences are very dangerous,” he added.
While Trump frequently discussed tariffs during his election campaign, the 125 per cent reciprocal tariff imposed on Chinese products after April 2 was unprecedented and significantly hampered trade between the two nations.