HONG KONG, CHINA — Beijing has issued a stern warning to its global trading partners, urging them to resist yielding to pressure from the United States under President Donald Trump to isolate China amidst his escalating tariff war. This stance is part of a dual strategy employed by Beijing, offering incentives while also issuing threats to countries caught in the crossfire of the world’s two largest economies.
Commenting on recent media reports detailing the Trump administration’s alleged plans to leverage tariff negotiations to pressure nations into curtailing trade with China in exchange for exemptions from U.S. levies, a spokesperson for China’s Commerce Ministry stated on Monday: “Appeasement does not bring peace, and compromise does not earn respect.”
“Seeking temporary self-interest at the expense of others — in exchange for so-called exemptions — is like asking a tiger for its skin. In the end, it will achieve nothing and harm both others and oneself,” the spokesperson said in a formal statement.
“China firmly opposes any party reaching a deal at the expense of China’s interests. If such a situation arises, China will not accept it and will resolutely take reciprocal countermeasures,” the spokesperson added, signaling Beijing’s firm stance against any agreements that compromise its economic interests.
This forceful warning follows Chinese leader Xi Jinping’s recent diplomatic outreach in Southeast Asia, where he presented China as a dependable partner and a strong proponent of global trade – a stark contrast to the unpredictable tariff policies and overall uncertainty emanating from the Trump administration.
Countries and businesses worldwide are facing increasing pressure as they navigate the complex relationship between the two economic superpowers, who have imposed unprecedented tariffs on each other in a rapidly intensifying trade dispute. This conflict has disrupted global markets and supply chains, fueling concerns about a potential economic recession.
On April 9th, President Trump temporarily suspended his “reciprocal” tariffs on most nations for a 90-day period, while sharply focusing his trade war on China by increasing levies on Chinese imports to a staggering 145%. Many nations are hoping to renegotiate these levies with the U.S. before the suspension expires.
In response, China retaliated by raising tariffs on U.S. goods to 125% and adding more American companies to its export control list and “unreliable entity list.” Beijing also targeted key U.S. industries, limiting the number of Hollywood films allowed in the country and reportedly returning at least two Boeing jets intended for Chinese airlines back to the United States.
With the U.S. and China locked in a bitter tariff dispute, neither leader appears willing to concede ground, and both are actively seeking to build a broad coalition of countries to oppose the other.
The Wall Street Journal reported last week that the Trump administration intended to use ongoing tariff negotiations to pressure U.S. trading partners into restricting their economic dealings with China, citing unnamed sources familiar with the discussions.
According to the WSJ report, the U.S. aims to secure commitments from its trading partners to isolate China’s economy in exchange for reductions in trade and tariff barriers imposed by the White House. This includes asking nations to prevent China from shipping goods through their territories, hindering Chinese firms from establishing operations within their borders to circumvent U.S. tariffs, and refraining from absorbing China’s inexpensive industrial goods into their economies.
Conversely, China has sought to leverage the instability and uncertainty created by Trump’s policies to rally international support. In his first foreign trip of the year, Xi Jinping visited Vietnam, Malaysia, and Cambodia last week, signing numerous bilateral cooperation agreements and pledging to uphold free and open trade. These three export-dependent economies had previously been targeted by U.S. “reciprocal” tariffs of up to 49% before the levies were temporarily suspended.
Chinese officials have also engaged in discussions with counterparts in Japan, South Korea, and the European Union, advocating for closer economic cooperation.
However, while countries appear receptive to Beijing’s diplomatic efforts, they are also cautious about being overwhelmed by cheap Chinese goods now excluded from the U.S. market due to the high tariffs. Furthermore, they are wary of provoking President Trump by aligning too closely with China. Beijing’s own history of economic coercion, aggressive trade practices, and assertive military actions in the region also present challenges to its diplomatic efforts.
Elizabeth Economy, a senior fellow at the Hoover Institution at Stanford University, suggested that despite China’s diplomatic overtures, countries are not readily “jumping at the chance to partner with China.”
“For many of these countries, even when China is a larger trading partner, the United States is often a much larger export market. So they have significant stakes with the US economy as well,” she noted.
Economy also pointed out that even as Xi Jinping pursues his charm offensive, Beijing continues its military assertiveness in the region, citing Chinese live-fire drills near Australia and New Zealand in February, ongoing aggression towards Taiwan and the Philippines in the South China Sea, and its actions concerning the Senkaku Islands in the East China Sea with Japan.
“They’re not stepping back in terms of their security ambitions even as they’re trying to promote themselves as a stabilizing economic force. So I think that charm offensive needs to be more all-embracing if Xi Jinping is actually going to realize the kinds of benefits that I think he wants from what President Trump is doing,” she concluded.
