Xi Jinping warns against trade tariffs

As he embarked on a tour of South-East Asia, Chinese President Xi Jinping cautioned against the pitfalls of trade conflict, asserting that “there are no winners in a trade war, or a tariff war.” This message was delivered amidst escalating tensions between the United States and China over tariffs.

Despite recent pauses, Washington maintains significant duties on Chinese goods – totaling 145 percent – highlighting the ongoing economic friction. Xi Jinping’s editorial, published jointly in Vietnamese and Chinese media, emphasized a commitment to preserving the established global trading system, maintaining stable supply chains, and fostering international cooperation.

“Our two countries should resolutely safeguard the multilateral trading system, stable global industrial and supply chains, and open and cooperative international environment,” he wrote.

Experts suggest Xi’s visit to South-East Asia serves a strategic purpose: positioning China as a stabilizing force in contrast to what is perceived as unpredictable U.S. policy under President Donald Trump. Nguyen Khac Giang, a visiting fellow at the ISEAS–Yusof Ishak Institute, noted that this demonstrates China’s desire to be seen as a “responsible superpower.”

While acknowledging respect for Xi Jinping, President Trump interpreted their meeting as an attempt by China and Vietnam to gain an advantage in ongoing trade negotiations. Speaking from the Oval Office, Trump stated, “China and Vietnam were trying to figure out how do we screw the United States of America.”

The visit began with a formal welcome for Xi Jinping; Vietnamese President Luong Cuong personally greeted him on the tarmac—a rare honor reserved for select visitors. Professor Nguyen Thanh Trung from Fulbright University Vietnam described this reception as a significant gesture.

Although planned previously, Xi’s trip has taken on added importance given the current trade dispute with the United States. It provides an opportunity for China to strengthen its regional partnerships and seek solutions to mitigate the impact of U.S. tariffs on Chinese exports.

During the visit, Vietnam and China formalized several agreements:

  • Strengthened cooperation in supply chain management
  • Advancement of rail development projects
  • Collaborative efforts focused on environmental protection

Notably, a $8 billion railway project was accelerated, according to Nhan Dan, the official voice of Vietnam’s Communist Party. This ambitious infrastructure endeavor aims to connect the two nations.

Vietnam’s approach to international relations is characterized by its ability to navigate complex dynamics while maintaining ties with both Washington and Beijing. Operating under a single-party communist system similar to China’s, Vietnam has also cultivated a strong relationship with the United States.

In 2023, Vietnam demonstrated this balancing act by welcoming visits from both President Joe Biden and Xi Jinping, and elevating its diplomatic status with the U.S. to the highest level—equal to that of China and Russia.

Breaking News & Latest Headlines