Yet the trade conflict continues to intensify. In turn, the Chinese government has publicly shamed countries that it sees as bowing to US pressure to protect their stances. Tensions have escalated dramatically since former President Donald Trump’s re–ascendance to the White House this January. He’s done it with steep tariffs on all kinds of imports—especially from China, often as high as 145%. The Trump administration’s aggressive approach has affected not only China but other trading partners, leading to a broader international economic impact.
Along with narrowing the trade deficit, these new tariffs on Chinese imports since January represent a clear continuation of dangerous protectionist policies. News reports indicate that additional tariffs are likely being considered. If put into effect, the combined levies on certain Chinese products would reach a stunning 245%. This latest act of incitement marked the latest escalation and has drawn a fiery response from Chinese officials.
A spokesperson from the Chinese Commerce Ministry recently outlined China’s remaining demands in the context of current trade talks. In response to those reports, the spokesperson confirmed that Washington was pressuring other governments to adopt its tariff policies. They said they were alarmed by these allegations.
“Appeasement cannot bring peace, and compromise cannot earn one respect.” – Chinese Commerce Ministry spokesperson.
The comments reflect China’s exasperation with what it sees as U.S. bullying in global trade negotiations. The Trump administration is indeed in negotiations right now with the entire world, or at least our most important trading partners. As a reminder, a Japanese delegation was in Washington last week negotiating, and South Korea is slated to start their negotiations too this week.
In addition to targeting China, the U.S. has imposed blanket tariffs of 10% on goods from other countries until July. For one, this sweeping approach marks a sea change in the global trade landscape. As nations are forced deeper into the crossfire of U.S.-China relations, tensions only continue to deepen.
China’s criticisms go well beyond rhetoric. It has taken positive steps to counter what it sees as unfair trade practices. The government warns that the U.S. is engaging in tariff diplomacy to coerce other countries. This action undermines years of new trade relationships.
While these discussions are ongoing, the world is looking to see what comes next. All of these tariff strategies could make huge, lasting changes to U.S.-China relations. What’s more, they can shift the balance of power between the U.S. and its partners.