Home > World > China Trump Tariffs Strategy: How Beijing Plans to Dominate Global Trade Long After US Pressure; 20 New Trade Deals with EU, Gulf, Canada to Secure World Dominance

China Trump Tariffs Strategy: How Beijing Plans to Dominate Global Trade Long After US Pressure; 20 New Trade Deals with EU, Gulf, Canada to Secure World Dominance

How China turns Trump tariffs into advantage: 20 deals, Canada EV pact, CPTPP bid, zero Africa tariffs to secure $19T economy long-term.

By: Prakriti Parul
Last Updated: February 20, 2026 00:02:59 IST

China is using Donald Trump’s tariff policies as an opportunity to push forward around 20 trade agreements, aiming to link its $19 trillion economy more deeply with regions like the EU, Gulf countries, and trans-Pacific trade blocs. The long-term plan is to protect Chinese manufacturing from U.S. pressure, even as issues like excess production and trade surpluses persist.

Who Drives China’s Post-Trump Trade Dominance Push?

Chinese policy advisers from the Chinese Academy of Social Sciences and Peking University reviewed more than 2,000 research papers published since 2017 to closely study and decode U.S. trade policy. They advocate “anti-decoupling” as primary focus against US competition, per CASS fellow Ni Feng in 2024. One official quipped of Trump: “Don’t interrupt your opponent when he is making a mistake.”

Commerce Ministry spokesperson He Yongqian stated willingness for bilateral and regional agreements during Canada PM Mark Carney’s January visit. Alicia Garcia Herrero of Bruegel called it a “golden opportunity” for Beijing. A US official noted countries with surpluses double down on globalization as US access tightens.

Foreign Minister Wang Yi pitched deals to Europe, Gulf Cooperation Council, and others.

​What New Trade Deals Show China’s Trump Tariff Strategy?

A new Canada–China trade deal cuts EV tariffs to 6.1% on nearly 49,000 vehicles, marking the first agreement after Mark Carney took office and settling earlier trade disputes. Separately, China has promised zero tariffs on imports from 53 African nations. Commerce Minister Wang Wentao said China is focusing on joining the Comprehensive and Progressive Agreement for Trans-Pacific Partnership by testing high-standard rules in free-trade zones.
​UK’s Keir Starmer agreed with Xi Jinping on trade-in-services feasibility study; Germany’s Friedrich Merz seeks strategic partnerships next week. China upgraded ASEAN pact for AI/digital trade; pilots AI customs at Vietnam “Friendship Port,” cutting wait times 20%. Ongoing talks with Honduras, Panama, Peru, South Korea, Switzerland. 

Talks aim to break US leverage per 10 officials and diplomats interviewed.

Why Does China Target Global Blocs Amid Trade Surplus?

China’s $1.2 trillion 2025 surplus, with monthly highs over $100 billion seven times, fuels overproduction fears hurting partners’ manufacturing. Soft domestic demand persists despite plans to boost consumption in March five-year plan. Pascal Lamy questioned rebalancing under the regime.

Papers urge embedding in institutions via Belt and Road, Regional Comprehensive Economic Partnership (30% global GDP). Diplomats to Lesotho pledged cooperation post-Trump’s 50% tariff. Western diplomats say success upends decade of US policy for China-centered order.

Wendy Cutler noted need beyond talk given imbalances, coercive measures. A European diplomat called overtures “propaganda.”

How Will China’s Plan Outlast Trump Tariffs?

Scholars like Zhao Pu urge studying US institutional “weaponization” for responses. Beijing shifted from Korean War memes to multilateralism advocacy pre-April Trump visit. Commerce Minister Wang Wentao eyes imports growth.
​Canada’s Carney respects USMCA but seeks less US-reliant order; Mexico wary, covers 60% GDP via CPTPP. Fred Neumann of HSBC stresses reviving China’s consumption. Risks include partner pushback on surpluses, potential next US administration coalitions.

​Important FAQs

Q: What is China’s main trade goal against Trump tariffs?

A: Anti-decoupling by stitching into EU, Gulf, CPTPP via 20 deals.

Q: China’s 2025 trade surplus size?

A: $1.2 trillion, monthly over $100B seven times.

​Q: CPTPP progress for China?

A: Trial measures in zones; ministry says fully prepared since 2021 application.

Q: African trade move by China?

A: Zero tariffs on imports from 53 countries announced Saturday.

Disclaimer: This information is based on inputs from news agency reports. TSG does not independently confirm the information provided by the relevant sources.

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