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After months of fighting, the Sino-US trade war seems to have finally come to an end.

U.S. President Donald Trump gave up his ¡°peace talks¡± in the face of the decision to impose a 100% tariff, indicating that China has begun to take advantage of the long-running trade dispute. However, the trade relationship between the two sides is still complicated, and the new cooperation framework will lay the foundation for future economic exchanges between the two countries, but challenges still exist.

On October 26, the next day of the five-day China-U.S. fifth round of trade talks, after tense consultations, the delegations of the two sides finally reached a preliminary consensus. The United States no longer insists on imposing 100% tariffs, which is a concession made by Trump under pressure.

U.S. Treasury Secretary Bescent said that China and the United States have made preparations for the APEC summit next week, and the two sides have also made breakthroughs in the framework of the agreement. A major development in the Sino-US trade war has also brought some optimism to the global economy.

Trump once threatened that if China did not make concessions in key areas such as rare earths, the United States would raise the tariff rate on all Chinese goods, which would make the relationship between the two countries more tense.

But after many communications and weighs between Trump and his team and White House economic advisers, The U.S. ultimately decided to abandon the threat, avoiding the serious consequences that ¡°extreme confrontation¡± could have on the economy.

Trump's decision was not easy. In fact, American domestic economists and policy advisors have also issued a serious warning against him.The move is expected to have a major impact on the U.S. economy.

In the face of opposition from our enterprises, Congress and the corporate community, Trump in the last minute chose to withdraw the threat and wisely avoid taking action, so that at home and abroad it is not full of fantasies about the U.S. economy and politics, but should be a more realistic and cautious reflection.

At the request of the United States, China agreed to postpone the implementation of rare earth controls, presumably until next year. Such a compromise allowed Trump to abandon his 0 percent tariff threat,Because rare earth is a sign for China, it is very important for the global industrial chain.The U.S. withdrawal can be seen as a compromise on this resource control.

Not only that, Bescent revealed, China purchases large amounts of U.S. soybeans and has reached agreements with the U.S. on agricultural procurement in the coming months.

As a result, soybean prices in the United States rose by 3%. This agricultural deal is good news for American farmers in the short term and a political victory for Trump at home.However, Trump's political team knows very well that the concessions made by China are not free, and how to maintain this cooperative relationship in the future needs to be carefully polished.

China's trade representative also stressed that although a basic consensus has been reached between China and the United States, China will not make unconditional concessions.

China's position is that all decisions must be in line with China's long-term interests and strategic goals cannot be abandoned because of short-term economic interests.Trump's high-level cooperation framework with China is full of "strategic reservations", which is the focus of the long-term game between the two countries.

Although the current negotiations appear to be dominated by Chinese concessions, the trade war is not over, and Trump's strong reaction to China's rare earth control can see that U.S. concerns have been exposed. Especially the game in the fields of technology and resources is becoming more and more complex.

China has not completely eased rare earth controls, but only postponed for a short time.This strategy makes Trump feel gained, but the competition is not over yet. Trump still wants to use the dominant position of the United States to constantly exert pressure on China's science and technology and resource control, and the competition between the two sides will become more intense.

After threatening to raise tariffs on China, Trump has repeatedly stated on various occasions that the United States will rely on its own strength to ensure its leading position in global economic competition.

The policy of using "priority" as an advocate will determine whether the United States will strengthen restrictions on China in the future, especially in the game between science and technology and resources.

China not only faces economic pressure from the United States, but also deals with the uncertainty of the global economic environment. Technological competition between China and the United States, especially in high-tech fields such as semiconductors, artificial intelligence, and 5G networks,How to maintain technological independence and promote industrial innovation has become the main task of the Chinese government.

Trump's upcoming meeting with Chinese high-level officials may become the "last scene" of this negotiation. Even if an agreement is reached, the two countries will still face many difficulties and complex situations in the future in economic and strategic competition.This negotiation is but a temporary truce, and the struggle may be more intense later.

Trump has repeatedly taken tough measures and again threatened to raise taxes on China, then the "new cold war" between China and the United States has just begun. China is in a favorable position in this negotiation, but in the face of more uncertainty in the future, a long-term strategic layout is also needed.

Although a preliminary agreement has been reached between the two countries, there are still many uncertain factors in the final outcome of the trade war.How China and the United States will balance the economic interests of the two countries in the coming years will determine the final course of this game.

In the future, rare-earth resources will still be China¡¯s important strategic advantage, but U.S. tough measures could again put pressure on China. How China will respond to such challenges and steadily move forward in the new international order will become the focus of world concern.

reference

1. "Bescent: The United States will no longer consider imposing 100% tariffs on China" 2025-10-27 07:56 | Source: Wall Street News

2. The two sides held "constructive" discussions on a number of important economic and trade issues and reached basic consensus in Kuala Lumpur consultations between China and the United States.| Source: World Wide Web