Opinion | Why China’s not in a rush to make trade concessions to Trump

Last week, US President Donald Trump suspended punitive tariffs on Canada and Mexico, following commitments from both countries’ presidents to deploy thousands of troops to their borders to help combat illegal immigration and the opioid crisis. These diplomatic concessions gave Trump a quick victory early in his second term, as both countries swiftly yielded to his demands.

Earlier this month, Trump signed executive orders imposing 25 per cent tariffs on Canadian and Mexican imports and 10 per cent tariffs on Chinese goods. The tariffs were framed as an “opening salvo” in a broader strategy to address issues beyond trade alone.

The spotlight quickly focused on China. After talks to Canadian Prime Minister Justin Trudeau and Mexican President Claudia Sheinbaum, Trump told the press he expected to speak with Chinese leadership within 24 hours. However, the following day, he downplayed the urgency, stating that he was “in no rush” to engage with President Xi Jinping. It seems that call never happened, despite an aide’s claim that it would take place that same day.

Meanwhile, Beijing retaliated by imposing tariffs ranging from 10 to 15 per cent on US exports, including natural gas, coal and farm machinery. China also launched an antitrust investigation into US tech giant Google and filed a dispute at the World Trade Organization against Washington.

China’s response highlights a stark contrast: while countries like Canada and Mexico quickly acquiesced to Trump’s demands, China remains resolute. Beijing is determined not to appear weak in the face of Trump’s threats.

China experts in Washington are increasingly concerned that Trump’s strategy of using tariffs to force compliance may not have the same impact on Beijing. Unlike other nations, China prefers to handle sensitive negotiations behind closed doors through private diplomatic channels. Nevertheless, some hawkish figures in Washington believe Beijing will eventually engage in dialogue with Trump, asserting that the US does not need to make the first move.