China's Economic Position in Trade Wars

China's current economic situation differs significantly from its position during the first trade war in 2018. The country is now more reliant on its exports and faces considerable internal challenges, including high youth unemployment and a weakened consumer base. This reliance on exports makes China more vulnerable, as it cannot afford to absorb a significant drop in trade with the U.S. Additionally, while the 2018 trade war had a strong consumer base to support its economy, current conditions suggest that consumer spending has diminished, limiting China's ability to retaliate effectively.