The trade war between the United States and China has escalated dramatically under the Trump administration, with tariffs exceeding 10 percent on most countries.
However, tariffs on China have been increased to an astonishing 145 percent, following Beijing’s retaliatory move to raise its tariffs on U.S. goods to 84 percent.
The White House appears to have misjudged the willingness of Chinese leaders to negotiate, operating under the assumption that they would be eager to make a deal.
China’s commerce ministry criticized this stance, stating, “The US threat to escalate tariffs on China is a mistake on top of a mistake and once again exposes the blackmailing nature of the US.
China will never accept this.
If the US insists on its own way, China will fight to the end.”
Officials in Beijing have previously indicated a strategy grounded in their capacity to “eat bitterness” or chiku.
This term describes the Chinese ability to endure hardships, which has been utilized throughout history in pursuit of national goals.
The Mao Zedong’s era exemplified this concept during the Great Leap Forward, a policy that ultimately led to widespread famine in an effort to surpass the UK in steel production.
More recently, this endurance was evident during China’s aggressive campaign to mitigate the effects of the COVID-19 pandemic.
This historical context highlights the resilience that the Chinese leadership believes it can call upon in facing the ongoing U.S.-China trade war.
The Trump administration must also consider growing domestic pressures, as potential inflation and job losses resulting from the trade war could lead to mounting frustration among the American populace.
An official from the Chinese embassy in Washington elucidated this resolve by posting a video of President Xi Jinping declaring that “intimidation or pressure will never work on the Chinese nation.”
In an environment where both nations are vying for supremacy, many Chinese officials firmly believe that they are in an existential struggle with the United States.
With this perspective, the trade war is viewed as the latest chapter in a long-standing rivalry between the two nations.
Concessions to U.S. demands could ultimately weaken Xi’s position as a leader at home and diminish his stature on the global stage.
Prepared for this confrontation, Beijing has enacted strategies to diversify its trade relationships away from the U.S.
Chinese exports to the U.S. constituted only 14.7 percent of their total in 2024, down from 19.2 percent in 2018.
Meanwhile, exports to countries in Southeast Asia and along the Belt and Road Initiative have seen significant growth.
In addition, China’s overall share of global exports has increased by a percentage point, totaling 14 percent since Trump’s first term began.
The official state newspaper, People’s Daily, echoed this sentiment: “We have been engaged in a trade war with the US for eight years and have accumulated rich experience in this struggle.
We have not closed the door to negotiations, but we will not take chances either.
Instead, we have made all kinds of preparations to deal with shocks.”
Recognizing the seriousness of the situation, Beijing has focused its tariffs on key industries like agriculture, which largely span Trump-supporting states.
New tariffs on agricultural products such as wheat, beef, pork, and soybeans have been enacted, impacting sectors that directly engage with American farmers.
Washington’s tariffs have prompted China to impose restrictions on the export of rare-earth minerals, crucial for high-tech development and military applications.
Furthermore, China has placed several U.S. companies, including drone manufacturer Skydio, on its export control list while expanding its unreliable entities list.
This strategic move is part of a wider array of economic retaliation measures that have emerged as tensions escalate.
In an effort to cushion the impact of U.S. tariffs, Chinese firms have been advised to delay investments in the United States.
The looming prospect of decoupling from the U.S. economy is viewed by Beijing as a double-edged sword.
While it is an undesirable outcome, it aligns with China’s broader objectives of shifting towards a more sustainable, consumption-driven economy.
The People’s Daily stated: “In the face of high tariffs that continue to shrink the trade space with the US, we must take expanding domestic demand as a long-term strategy.
Striving to make consumption the main driving force and ballast of economic growth, and leveraging the advantages of our large market will be essential.
As Beijing fortifies its stance, the question remains: How much bitterness are Americans prepared to endure in response to this trade war?”
Dexter Tiff Roberts, a nonresident senior fellow at the Atlantic Council’s Global China Hub, cautions that a turbulent road lies ahead as both nations grapple with the complexities of their economic showdown.
Ultimately, the full ramifications of this trade war on global economics remain to be seen, as both countries must navigate their respective challenges with wisdom and strategy.
image source from：https://www.atlanticcouncil.org/blogs/new-atlanticist/china-is-ready-to-eat-bitterness-in-the-trade-war-what-about-the-us/
