China has issued a strong warning, declaring it would retaliate against any country that aligns with U.S. efforts to isolate Beijing, as the trade war between the two global economic superpowers deepens and begins to drag in other nations, CNBC reports.
The warning follows reports that President Donald Trump’s administration is intensifying pressure on its allies to curtail economic ties with China, using trade negotiations and tariff threats as leverage.
This comes amid escalating trade tensions, with Washington increasing tariffs on Chinese goods to 145%, while granting a temporary 90-day reprieve to some other trading partners.
In a statement, China’s Ministry of Commerce said, “China firmly opposes any party reaching a deal at the expense of China’s interests. If this happens, China will not accept it and will resolutely take reciprocal countermeasures.”
The ministry cautioned that such geopolitical trade moves risk pushing the global trading system into chaos, warning of a return to the “law of the jungle,” where power dynamics override fair trade practices and multilateral cooperation.
Beijing Accuses U.S. of “Unilateral Bullying”
Beijing portrayed itself as a defender of global economic stability, accusing the U.S. of “abusing tariffs” and engaging in “unilateral bullying.”
The statement also reaffirmed China’s willingness to collaborate with other nations and uphold international trade norms and multilateral agreements.
- In retaliation to Washington’s aggressive tariffs, China imposed counter-levies of up to 125% on various American imports. The Chinese government has also restricted the export of rare earth minerals critical to tech and defense industries, and blacklisted several U.S. firms—mostly smaller businesses—effectively barring them from working with Chinese companies.
- Analysts warn that this ongoing standoff could reshape global supply chains and trade dynamics, especially in regions like Africa, Latin America, and Southeast Asia. While President Trump recently expressed optimism that a trade deal could be reached “within the next three to four weeks,” few observers expect a breakthrough anytime soon.
Meanwhile, Chinese President Xi Jinping embarked on a strategic diplomatic tour last week, visiting Vietnam, Malaysia, and Cambodia—marking his first overseas trip of 2025. In his official meetings, Xi reiterated calls for unity among regional nations in resisting U.S. tariffs and rejecting “hegemonic economic policies.”
China has also strengthened its economic engagement with Southeast Asia, which has now become its largest regional trading partner, surpassing the U.S. in total trade volume. However, the U.S. remains China’s largest single-country trade partner, underlining the complexity of any full decoupling between the two economies.
China Pushes for South-South Solidarity
Speaking on the sidelines of a trade forum in Beijing, Justin Yifu Lin, dean of the Institute of New Structural Economics at Peking University, said all countries—especially those in Africa and the Global South—should “respond together” to what he described as “unreasonable and illogical” U.S. policies.
“I’m confident that unreasonable and illogical things can’t last that long,” Lin added, hinting that global sentiment may gradually shift against the U.S. strategy if the economic fallout becomes more pronounced.
In a move signaling a more assertive stance, China has filed a fresh lawsuit against the United States at the World Trade Organization (WTO) in response to the latest round of tariff hikes. To lead its international trade response, Beijing has appointed Li Chenggang—a seasoned trade diplomat and former ambassador to the WTO—as its new vice minister and top negotiator.
