Trump’s Tariffs Are Changing Trade With China. Here Are 2 Emerging Endgames.

Trump’s Tariffs Are Changing Trade With China. Here Are 2 Emerging Endgames.

China now appears willing to discuss changes to its Made in 2025 strategic plan, which the Trump administration sees as a threat to big American industries like aircraft manufacturing and semiconductors.

BEIJING — The United States and China have sparred repeatedly over trade, in a tit-for-tat skirmish that has shown little sign of abating. High-level talks have stalled, while both sides have been threatening further tariffs in the past week.

But beneath the acrimony, two potential paths for China seem to be emerging, according to participants in the trade negotiations and their advisers. Both would deliver trade wins for President Trump and his more moderate advisers, while also letting President Xi Jinping of China push ahead with his ambitious industrial plan to build national champions in cutting-edge technologies.

A stalemate appears the most likely endgame, with new American and Chinese tariffs staying in place for months or even years. So far, the United States has imposed tariffs on $34 billion of Chinese technology goods and $3 billion of Chinese steel and aluminum, with another $16 billion in the offing. Mr. Trump has even mentioned this summer the possibility of tariffs targeting all Chinese exports to the United States.
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