WASHINGTON (AP) — Last week, the leaders of Canada and Mexico reached out to President Donald Trump to explore solutions following his imposition of tariffs on their nations. In contrast, Chinese President Xi Jinping does not seem likely to initiate a similar conversation in the near future.
Unlike the U.S.’s close allies and neighbors, Beijing has been engaged in a prolonged trade and technology conflict with the U.S. for several years, adopting a different stance towards Trump as he begins his second term. It has emphasized that any discussions should occur under conditions of equal partnership.
Chinese officials have expressed their willingness to engage in dialogue but have also braced for increased U.S. tariffs, which have surged by 20% since Trump assumed office just seven weeks ago. Determined not to be caught unprepared as they were during Trump’s initial term, the Chinese have devised retaliatory strategies — they implemented their own tariffs on significant U.S. agricultural imports and other goods this past week.
“As Washington heightens the tariff rates, Beijing feels compelled to strike back,” remarked Sun Yun, director of the China program at the Stimson Center, a Washington-based think tank. “This doesn’t imply that Beijing is unwilling to negotiate; however, appearing desperate for discussions or mercy is not an option for them.”
As the world’s second-largest economy, China aims to be recognized as a great power globally and regionally, seeking respect from all nations, particularly from the United States, as a testament to the Communist Party’s success in fostering prosperity and strength.
This past week, following the U.S. introduction of an additional 10% tariff on top of another 10% imposed on February 4, the Chinese foreign ministry delivered its strongest response to date: “If the U.S. is intent on war, whether it’s a tariff war, a trade war, or any other form of conflict, we are ready to fight to the finish.”
This stern language echoed remarks from 2018, when Trump initiated his first trade confrontation with China, leading to prompt retaliatory actions from Beijing. Since then, Chinese leaders have developed a comprehensive array of tariffs, restrictions on imports, export controls, sanctions, regulatory assessments, and measures to limit foreign companies from operating in China.
These strategies are aimed at causing economic pain to the U.S. in response to American policies.
This preparedness allowed China to swiftly counter Trump’s recent blanket doubling of tariffs on Chinese products with various retaliatory actions, such as taxing numerous American agricultural products at rates up to 15%, halting U.S. lumber imports, and blacklisting 15 American companies.
Analysts suggest that Beijing has shown restraint in its reactions to maintain avenues for negotiation.
Under Xi Jinping’s leadership, which has spanned both terms of Trump’s presidency, China enjoys more continuity in its strategic planning. It was Xi who determined that now is not the right moment for discussions with Trump, stated Daniel Russel, vice president for international security and diplomacy at the Asia Society Policy Institute.
“This is not merely a scheduling conflict; it serves as leverage for China,” said Russel, who previously held the position of assistant secretary of state for East Asian and Pacific Affairs. “Xi is unwilling to enter a call where he runs the risk of being harassed or humiliated, and for both political and strategic reasons, he refuses to assume the role of a subordinate.”
“Rather, China is responding promptly — yet thoughtfully — to each set of tariffs,” Russel added.
At his annual press conference on Friday, Chinese Foreign Minister Wang Yi stated, “No country should entertain the illusion that it can suppress or contain China while simultaneously fostering good relations.”
“Such duplicity undermines the stability of bilateral relations and fails to build mutual trust,” Wang stated. He expressed that China welcomes cooperation with the U.S. but cautioned, “If you continue to apply pressure, China will retaliate decisively.”
Scott Kennedy, a trustee chair in Chinese business and economics at the Center for Strategic and International Studies in Washington, commented that the Chinese are “not taken aback psychologically” by Trump’s “shock-and-awe” approach.
“They have anticipated this kind of maneuvering,” Kennedy noted. “These strategies are aligned with their expectations.”
Although China’s economy has slowed, it continues to grow at nearly a 5% annual rate, and under Xi, the Communist Party is making significant investments in advanced technology, education, and other crucial sectors. Furthermore, China has established stronger trade relationships with various nations compared to the period during Trump’s first term, diversifying its sources for essential imports, such as procuring a majority of its soybeans from Brazil and Argentina instead of the U.S.
Consequently, the proportion of Chinese exports to the U.S. has decreased.
“They are now better equipped to handle the impacts of these shocks than they were a few years ago,” Kennedy remarked.
In stark contrast, over 80% of Mexico’s exports are directed toward the U.S., while Canada relies on the U.S. for 75% of its exports.
Beijing has gained insights from its previous interactions with Trump, Russel observed. Canadian Prime Minister Justin Trudeau and Mexican President Claudia Sheinbaum are currently managing a reversal of Trump’s earlier trade policies, with tariffs being applied and postponed multiple times on certain goods.
“Beijing has concluded that appeasing Trump is ineffective,” Russel stated. In the initial phase, Trudeau and Sheinbaum “temporarily eased pressure, only for it to return with even greater intensity.”
Trudeau visited Mar-a-Lago to meet Trump in December following the president-elect’s tariff threats. However, in announcing his own retaliatory tariffs, Trudeau firmly declared: “Now is the time to respond strongly and demonstrate that there are no victors in a conflict with Canada.”
Sheinbaum also remarked that “this decision is not a win for anyone.”
