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U.S. President Donald Trump at the United Nations Headquarters, New York City, September 23, 2025. /CFP
Editor's note: Zhou Yixin is a special commentator on current affairs for CGTN. The article reflects the author's opinions and not necessarily the views of CGTN.
U.S. President Donald Trump's latest trade war move – slapping additional 100 percent tariffs on Chinese imports – has once again stirred up uncertainty in the global markets. The announcement – coupled with the threat of sweeping U.S. export controls – sent stock markets tumbling and reignited fears of another full-blown trade war.
However, history and reality have repeatedly proven that such intimidation tactics benefit no one, while cooperation between China and the United States serves both nations' interests.
More often than not, intimidatory tactics backfire, hurting the very economy that launches them. The sharp volatility in U.S. financial markets following Trump's remarks speaks louder than words. The S&P 500 suffered its steepest drop since April, showing how Washington's erratic behavior continues to unleash instability on a world still seeking recovery.
Over the past year, China and the U.S. have held several rounds of candid and constructive economic talks – from Geneva to London, Stockholm, and in Madrid. These engagements were not easy, yet they achieved tangible progress, especially on issues such as rare earth exports, semiconductor trade, and data security. Through dialogue, both sides managed to rebuild a degree of predictability and restore business confidence.
Each round of talks demonstrated that when Beijing and Washington sit at the same table, tensions can be managed and solutions found. Such hard-won progress should not be derailed by short-term political impulses or provocations.
The truth is simple: Confrontation benefits no one, and cooperation remains the only sustainable approach. Washington's "America First" strategy is increasingly backfiring on its own economy – hurting U.S. businesses and households first.
The consequences are already visible: Inflation is creeping upward; prices of imported goods such as clothing, electronics, and household appliances have surged, disproportionately affecting low-income families. Job growth has stagnated, and the unemployment rate rose to a nearly four-year high in August, underscoring the growing fragility of the U.S. labor market. The Federal Reserve now faces a dilemma between containing inflation and sustaining growth.
Television stations broadcast Jerome Powell, chairman of the U.S. Federal Reserve, speaking after a Federal Open Market Committee (FOMC) meeting on the floor of the New York Stock Exchange (NYSE) in New York City, September 17, 2025. /CFP
Meanwhile, China's response has been measured yet firm. Its recent steps to safeguard its rare-earth industry and related technologies are legitimate defensive measures aimed at protecting supply-chain security and fair competition. Beijing has consistently emphasized that it does not seek confrontation, but neither will it accept coercion. Instead, it calls for equal consultation and mutual respect.
Both governments have repeatedly affirmed that a stable bilateral economic relation between them is essential to the global economy. History shows that when China and the U.S. work together, they can deliver global benefits. From stabilizing world trade during crises to driving technological progress through competition and collaboration, the two economies are deeply intertwined. Their supply chains, capital flows, and talent exchanges are woven into a single fabric supporting global growth. Severing those ties would harm both nations – and destabilize the broader world economy.
As the world's two largest economies, China and the U.S. share a responsibility to manage their differences and seek cooperation wherever possible. The experience of multiple rounds of talks has shown that dialogue does produce results. The path forward lies not in confrontation, but in cooperation – grounded in balance, reason, and a shared commitment to global stability and prosperity.
(If you want to contribute and have specific expertise, please contact us at opinions@cgtn.com. Follow @thouse_opinions on X, formerly Twitter, to discover the latest commentaries in the CGTN Opinion Section.)