Trump Scared China Into Playing ‘Nice’ With the US Again
Chinese leader Xi Jinping and President Donald Trump signed a trade and economic agreement that included significant Chinese concessions.
Summary of the Meeting
Victor Davis Hanson, Senior Contributor at The Daily Signal, provided a brief overview of the recent mini summit between President Trump and Xi Jinping. The meeting aimed to ease the growing tensions over trade and tariffs.
Key Outcomes of the Deal
- The United States agreed to reduce some tariffs, which will still stay at about 47% on incoming Chinese goods, though certain sectors might see smaller cuts.
- China agreed to lower tariffs against American products and lift restrictions on exports to China.
- China committed to purchasing U.S. soybeans.
- China will end its embargo on rare earth materials.
Why Did China Negotiate?
Despite earlier threats of a prolonged trade war, China has now engaged in dialogue with President Trump. Hanson suggests this shift happened because Trump exposed China's true position in the dispute.
"The question I have is, why now is China willing, after all of this rhetoric of resistance, why is it willing to even talk to Donald Trump? I thought we were gonna be in a trade war. And the answer is that, I guess, Donald Trump exposed China for what it is."
This agreement marks a notable change in the economic relationship between the two powers, reflecting a strategic recalibration by China.
Author’s summary: President Trump’s firm stance prompted China to make notable trade concessions, easing tensions and opening dialogue after initial resistance.