President Trump’s initial 10 percent tariff threat on Chinese goods suggests a softer approach compared to previous statements, signaling a willingness to negotiate. His administration aims to address the fentanyl crisis and enhance bilateral relations. China seeks to stabilize its economy and mend ties with global partners amidst superpower tensions. Analysts propose a 'pseudo grand bargain' that satisfies both nations’ immediate political agendas while avoiding major compromises, potentially involving concessions on trade and technology restrictions.
Beijing may be calculating that it can placate Mr. Trump, perhaps with a TikTok sale, a crackdown on fentanyl precursor producers, or a refresh of the trade deal.
Mr. Trump's apparent willingness to make deals with China could give Beijing much-needed time and space to tackle its most pressing needs, such as a stagnant economy.
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