Editor's note:Elizabeth Truss, the new Prime Minister of the UK, has talked tough on China. She said during the campaign she would reopen the review of China and classify it as “a threat” to national security. Can the UK battle multiple rivals simultaneously: inflation, cost-of-living crisis, Ukraine war, the EU and China? The UK shouldn't cut off its nose to spite its face. 

Liz Truss, the new Prime Minister of the UK, has talked tough on China and many are wondering if the new government will escalate tensions with its third largest trading partner. What does being “tough on China” mean for Truss? And is a hardline policy the right choice?

The UK listed China as a “systemic competitor” last year.  Truss said during the campaign she would reopen the review of China and classify it as “a threat” to national security.

But right now, Ms. Truss has too much on her plate. There’s a cost-of-living crisis due to double-digit inflation. Unless energy prices can be tamed, the UK could see inflation as high as 22%, and economists are predicting a recession next year. The UK government is under pressure to act as ordinary folks must soon choose between eating or heating their homes during the upcoming winter. A think tank says the crisis could throw 3 million Britons into poverty. Even worse, some public institutions – such as the National Health Service – are showing signs of breaking down. The public is not happy.

But Truss is promising better things to come.

Handling the crisis will be top priority as 2024 is the next election. Truss will have to indeed deliver in order to ward off the Labor Party, now ahead in the polls.

She must also deal with other thorny issues, such as ties with its largest trading partner the EU over the Northern Ireland protocol. There’s also the Ukraine war, which is unlikely to conclude any time soon. And expect the energy crisis to continue into next year. 

Against such a backdrop, is being tough with China wise? UK and China trade was 93.4 billion pounds in 2021 until the end of the first quarter of 2022, an increase of 5.5 percent from the previous year. Cheap and quality Chinese products are indispensable during a bad economy.

Also, some 144,000 Chinese students in the UK contribute some 2.5 billion pounds to the economy, while 880,000 Chinese tourists brought in 1.7 billion in 2019, the year before the pandemic.

A rational voice would argue for reinforcing trade with China, not decreasing it. Will Truss adopt a hawkish China policy, even against the interests of the UK?

The UK’s disengagement with Huawei and 5G is a case in point.

UK former business and industry minister Sir Vince Cable admitted that the UK banned Huawei "because the Americans told us we have to."

A senior US official reportedly shouted at the UK side for five hours to force them to abandon Huawei.

Washington would be content to see allies like the UK adopt a tough stance on China. Will Truss translate campaign rhetoric into real policy and align herself with Washington, even at the expense of British national interests? Can the UK battle multiple rivals simultaneously: inflation, cost-of-living crisis, Ukraine war, the EU and China? This unusual time in the UK requires unusual measures. But that shouldn’t include cutting off your nose to spite your face.