President Trump has recently escalated trade pressure on China due to Beijing’s perceived inaction in addressing issues like the flow of fentanyl into the United States. This move comes as part of the president’s broader strategy to reshape the U.S.-China trade relationship, with significant implications for both countries.

China’s Response and Trump’s Tariffs

When President Trump initially threatened tariffs on Canada, Mexico, and China, it sparked a flurry of diplomatic activity. Canadian and Mexican officials swiftly traveled to Washington, armed with evidence of their efforts to combat issues like drug trafficking and immigration. Canada appointed a “fentanyl czar” and committed additional resources to fight organized crime, while Mexico deployed troops to strengthen border security and handed over cartel members to U.S. authorities. These proactive measures led to a temporary reprieve from tariffs on America’s northern neighbors.

In contrast, China did not take similar steps, prompting President Trump to move forward with imposing a 10 percent tariff on all Chinese imports. The lack of significant action on China’s part, particularly in addressing the flow of fentanyl, prompted the president to announce an additional 10 percent tariff on existing Chinese tariffs.

Deliberate Chinese Response and U.S. Engagement

While President Trump is swiftly pushing for changes in the U.S.-China trade relationship, the Chinese government is proceeding cautiously. Chinese officials are carefully evaluating the situation and attempting to discern the president’s intentions. Despite discussions between U.S. advisors like Treasury Secretary Scott Bessent and Secretary of State Marco Rubio with their Chinese counterparts, a direct conversation between President Trump and Chinese leader Xi Jinping has yet to materialize.

The Chinese approach is marked by a reluctance to initiate dialogue out of fear of appearing submissive or making premature concessions. Instead, Chinese officials and experts close to the government are engaging in discreet conversations to understand President Trump’s motives and test potential trade deal scenarios. China expert Michael Pillsbury, who advises the Trump administration on China relations, notes that the Chinese tend to proceed cautiously in negotiations, wary of hidden agendas or traps.

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