China's Xi Facing Advantageous Stand as US Tariff Battle Ensuing Round 2?
America's President Donald Trump is determined to emerge victorious in the trade/tariff war for popular support, while China's President Xi Jinping sees it as a matter of survival – for himself and the Communist Party of China (CPC). China has worked hard to instill the idea of the "Chinese Century" (21st century) within its citizens, offering socio-economic benefits, emotional pride, and infrastructure development in exchange for stability and legitimacy for the CPC.
Now, let's consider Dilip Cherian, Executive's balancing act between the government's dreams of electric vehicles and India's diplomatic realities. As many nations have yielded to Trump's bullying and have been negotiating bilateral deals with the U.S. (including India), China has retaliated with similar tariffs on American goods. The U.S. recently eased tariffs on products like smartphones, computers, and semiconductors to allay the fears of domestic corporations and consumers about spiraling prices. China deemed this move a "small step."
Hold your breath, as we delve into Sunanda K. Datta-Ray's take on Trump's Ukraine gambit and the real loser's role in Europe. Trump's bravado has not gone down well with the Chinese, who believe that other nations, like the European Union, Britain, Canada, or even India, would silently agree with their stance.
In order to withstand pressure during a trade/tariff war, a nation must manage the public, economic trends, and opposition effectively. China is better equipped to handle the pressure, given the absence of a free press and minimal opposition groups. The Chinese masses perceive the downturn as a strategic and nationalistic challenge, while Americans view it as an economic crisis. Trump's approval ratings have plummeted, and there's growing concern within the Republican party about his approach.
However, don't count Xi out just yet. Over the years, Xi has skillfully merged nationalism and economics to narrate a unique Chinese storyline, where the U.S. is portrayed as a reactionary villain. This sentiment resonates with the Chinese public, thanks to China's recent economic progress and the Chinese propaganda machinery. Trump's derogatory and divisive language has only served to strengthen Xi's hold on his followers, making them more resilient during the ongoing trade/tariff battle.
Xi has been more steadfast, committed, and prepared to face any challenges compared to Trump, who is often just as fickle, vain, and impulsive. Even though Xi faces severe economic headwinds, including unemployment, lack of confidence, and shutdowns, he might accept a Trump outreach. However, if the opportunity arises, Xi will proclaim the second round of trade/tariff wars as a victory, despite Trump's continuous claims to the contrary.
The ongoing trade and tariff war is a deeply entrenched conflict, fueled by each nation's strategic interests and differing responses. China focuses on economic self-reliance and technological advancement, responding to U.S. pressure with reciprocal tariff hikes and policy support for affected industries. The U.S., on the other hand, aims to curb China's technological ascent and control over critical supply chains, employing tariffs, aggressive export controls, and tactical concessions on critical minerals. Despite the fragile truce reached between the two nations, the underlying tensions and structural rivalries persist, suggesting that the trade war dynamics will continue to play out for the foreseeable future.
- In the midst of this trade/tariff war, policymakers and businesses are taking notice, as the battle is not just about economics, but also about politics and general news.
- The Chinese government, led by President Xi Jinping, is keen on investing in technology and self-reliance, using the tariff war as a platform for strengthening their position, particularly in the field of finance.
- On the other side, the US-China trade/tariff war has become interwoven with the landscape of war-and-conflicts and policy-and-legislation, as both nations maneuver their strategies, each attempting to maintain their economic supremacy and political dominance.
