ABC News Daily How China could win Trump’s trade war
Apr 14, 2025
Neil Thomas, a Fellow of Chinese politics at the Asia Society Policy Institute, dives deep into the ongoing trade tensions between the U.S. and China. He outlines how China, despite facing economic challenges like a collapsing property market and high youth unemployment, may leverage its position to gain an advantage. Thomas discusses China's strategic responses, including its efforts to influence Australia's stance and the implications of tariffs. His insights reveal why President Xi Jinping might already be ahead in this economic showdown.
AI Snips
Chapters
Transcript
Episode notes
China as the Primary Target
- Donald Trump's tariffs primarily target China, starting at 34% and escalating to 145%.
- These tariffs have been incrementally increased due to China's retaliatory measures.
Xi's Stance and Negotiation Impasse
- Xi Jinping views China as equal to the US, rejecting any appearance of yielding to pressure.
- He prefers lower-level preparatory talks before engaging directly with Trump, creating an impasse.
China's Confidence and Potential Gain
- China projects confidence and defiance, believing it can endure short-term pain from the trade war.
- This situation may even benefit China by alienating other countries and promoting self-reliance.