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Shipping containers from China are seen at the Port of Los Angeles, in San Pedro, California, U.S., May 1, 2025.
REUTERS/Mike Blake
May 05, 2025
“There’s no clarity around what Trump wants from China,” says Eurasia Group’s Lauren Gloudeman . “It’s been a huge source of frustration for the Chinese side because since November they have been seeking to get that question answered.”
Beijing isn’t playing ball like Canada or Mexico, which made superficial concessions to Trump to postpone tariffs. China retaliated with 125% tariffs of its own and then moved to protect vulnerable parts of its economy by quietly issuing a series of exemptions on important US imports like aircraft engines, semiconductors, and pharmaceuticals.
“China’s leadership cannot be seen as being coerced into giving in to Trump’s tactics,” says Gloudeman, explaining that Beijing is already facing the worst-case scenario for bilateral trade. “It’s quite insulting and humiliating, and the broader strategy for China is counting on Trump to back down first.”
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