“… The full-blown trade war during Trump’s first term had strengthened Xi’s resolve to fortify China against a new Trump-like assault. And yet, in the absence of contacts with the Trump team, Washington’s most formidable adversary settled on a wait-and-see approach.
… Then came the shock of the extra 34% tariffs Trump slapped on China on Wednesday. That brings the average U.S. import levies on Chinese products to 76%, figuring in the previous 20% tariffs and levies that predate Trump’s second term, according to Chad Bown, a senior fellow at the Peterson Institute for International Economics—more than 20 times what it was before Trump launched his first trade war against China in 2018.
“That amounts to a declaration of ‘strategic decoupling’ with China,” said a senior economist in Beijing, using a term from Trump’s first-term trade czar, Robert Lighthizer. “Can we find a pathway toward negotiations under such maximum pressure? The lack of communication between the two sides might make it difficult.”
… Some foreign-policy and trade analysts say Beijing was smart to wait it out as Trump has also significantly bumped up import levies on traditional allies and other big trading partners, raising the specter of a global backlash against the U.S. that could benefit China.
… If Xi engages too soon, Singleton said, he risks looking weak.
…
The current Chinese ambassador to Washington, Xie Feng, has tried in vain to engage with Trump adviser
Elon Musk, according to the people who consult with Chinese officials. Beijing had hoped that Musk, whose company
Tesla makes half its electric vehicles in China, could help counterbalance the China hard-liners on Trump’s team.
Other U.S. business leaders, such as Wall Street financiers that Chinese leaders have often turned to in periods of trouble, now see little upside in acting as a go-between for Beijing. “Who wants that role?” said a senior American executive. “No one.” …”