Washington, April 12
China seeks to "outlast" an escalating trade war with the United States and keep pressure on U.S. allies to "hedge," a former US diplomat said, as President Donald Trump's imposition of new tariffs and Beijing's retaliation have sharply raised tensions between the two superpowers.
Daniel Russel, former assistant secretary of state for East Asian and Pacific affairs and vice president of international security and diplomacy at the Asia Society Policy Institute (ASPI), made the remarks, after the U.S. raised tariffs on China to 145 percent, with China increasing tariffs on U.S. goods to 125 percent, reports news agency.
Following its tariff hike, China stated a decision to "ignore it" if the U.S. continues to impose tariffs on Chinese goods on the grounds that given the current duty level, there is no market acceptance for American exports to China.
"By declaring it will 'ignore' future U.S. tariff hikes, Beijing is not trying to win the trade war -- it's trying to outlast it and to outmaneuver Trump," Russel said in a statement. "Beijing's goals are to buffer its economy, expand diplomatic clout, and keep pressure on U.S. allies to hedge."
He was apparently referring to a scenario in which U.S. allies might seek to strengthen trade ties with China or diversify trade routes in the wake of Trump's tariff imposition.
Russel pointed out that Chinese President Xi Jinping's upcoming trip to Vietnam, Malaysia and Cambodia is "part of a strategy to shore up China's economic ties in the region while Washington lashes out and alienates its partners."