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US-China trade war
ChinaDiplomacy

More cards to play: scholar sees Trump moving beyond tariffs as tactic with China

‘If negotiations on the fentanyl issue can get under way … there’s real hope that the US will remove the 20 per cent tariffs’: Wu Xinbo

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Wu Xinbo, professor and dean at the Institute of International Studies at Fudan University, says  Beijing should be prepared for a possible shift in Washington’s negotiation tactics in the next phase. Photo: AP
Vanessa Caiin Shanghai

Beijing should be ready for Washington to adopt alternative pressure tactics in future tariff negotiations, according to a renowned Chinese scholar who noted that the Trump administration had recognised the limitations of imposing heavy tariffs.

Wu Xinbo, dean of the Institute of International Studies at Fudan University in Shanghai, said that while US President Donald Trump might continue using tariffs as a negotiating tool, he was likely to show more restraint after seeing their mixed results.

“Trump came to understand that while tariffs had limited impact on China, they carried significant side effects for the US. Although he would continue to use tariffs, he would definitely exercise more restraint going forward, avoiding the extremes seen in the first phase,” Wu said in an interview.

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“That’s why we also need to be alert to the possibility that he may play other cards – because once he saw the limitations of the tariff card, he could start considering alternative cards.”

Such measures could relate to science, diplomacy and security, Wu said.

05:19

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Wu was speaking before the US Court of International Trade blocked his sweeping “Liberation Day” tariffs – and further levies on China, Mexico and Canada relating to the US fentanyl crisis – saying he had overstepped his authority by using emergency powers to do so.
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