When Donald Trump first made a duty, it is assumed that the US would launch a historic trade war against a series of countries. At present, however, they have been limited to one and only target, China.

Yesterday, Wednesday, Trump announced a three -month cessation to all “mutual” duties that had come in place earlier – with an exception, China, thus deepening a confrontation that was intended to dismantle the trade between the world’s two largest economies. The Beijing then kept its own promise and made countermeasures.

In addition, the Foreign Ministry in Beijing responded to Trump’s trade war with a video of former Chinese leader Mao Zedong, where he says “we will not retreat”. The video is an excerpt from Mao’s speech at the end of the Chinese Communist Party Congress in 1953, referring to the Korean War, during which Beijing supported Pyongyang and the US the South Korea.

“As for how much this war will last, we are not the one to decide. It was dependent on President Truman and now depends on President Eisenhower or anyone who is the next US president. It is up to them, ”says the historical leader of China.

And he continues: “No matter how long this war will last, we will never succumb. We will fight until we are fully triumph “, which, according to a spokesman for the Chinese Foreign Ministry, Mao Ning, is still in force today.

The video accompanies a comment that says: “We are Chinese. We are not afraid of challenges. We will not retreat. “

The rate of this escalation between the US-China is amazing. During a week, Trump’s duties to Chinese imports have been ejected from 54% to 104% and now to 125% – elements added to existing taxes imposed before the president’s second term. And China retaliated with an increase in duties to all US -imported products to 84%.

The match creates a historical rupture Which will not only cause pain to both deeply intertwined economies – but will add tremendous friction to their geopolitical rivalry, CNN comments on its analysis.

Trump appeared to link his decision not to pause for Beijing by telling reporters on Wednesday that “China wants to make a deal, they just don’t know how to do it”.

But Beijing seems to see it completely differently. Chinese leader, Si Jing He sees no choice for his country to capitulate In what he calls America’s “unilateral intimidation”. While China has long stated that it wants to talk to the US, Trump’s rapid escalation seems to have confirmed to Beijing that the US does not really want to come into talks. According to analysts, then, China is not only ready to counter but prepares to use the commercial upheaval that Trump creates to reinforce its own position.

“Si was clear and expected for a long time that China would enter a period of prolonged struggle with the United States and its allies, which China had to prepare for it, and have done so extensively,” said Jacob Gouder, head of Think Merik.

‘War of wear’

For decades, China is the factory of the world, where more and more automated and high -tech production chains produce everything, from household items and shoes to electronics, raw materials for construction, appliances and solar panels.

These factories have met the demand of Americans and world consumers for affordable goods, but fueled a huge trade deficit – and the sense of some Americans, including Trump, that globalization has stolen US production and jobs.

Increasing Trusts by Trump over 125% could now reduce China’s exports to the US by more than half in the coming years, according to some estimates.

Many products from China will not be able to be replaced quickly before new factories are opened. This could cause tax increase for Americans by about $ 860 billion, JP Morgan analysts said Wednesday.

In China, a wide range of suppliers are likely to see their already close profit margins to be completely deleted, with businessmen already looking for countries to open new factories.

The duty scale could lead to “millions of people to be unemployed” and a “bankruptcy wave” throughout China, according to Victor Shih, director of the California Center of the University of California San Diego 21st Century China.

“But China can support this (situation) much more than US politicians can,” he said.

The Beijing also believes that it can overcome the storm.

‘Preparation for this day’

Beijing has also been talking to countries from Europe to Southeast Asia in recent weeks in an effort to expand its commercial cooperation.

At the same time, he has been prepared for friction with the US in the commercial sector since Trump launched a campaign against Huawei, which was an awakening for Beijing that his financial rise could be derailed if he was not well prepared.

“The Chinese government was preparing for this day for six years – it knew that was a possibility,” Victor Shih said.

Today, China is in a much better position to face a wider trade conflict, experts say. Compared to 2018, it has expanded its trade relations with the rest of the world, reducing US export share from about one -fifth of the total to less than 15%.

Its manufacturers have also created extensive activities in third countries such as Vietnam and Cambodia, partly to benefit from potentially lower duties in the US.

China has also created its supply chains for rare land and other critical minerals, upgraded its AI manufacturing technology and humanoid robots and enhanced its advanced technological capabilities, including semiconductors. Last year, the government also worked, with a different success, to address issues such as weak consumption and high debt of local government.

“The weaknesses (of China) are important, but in the context of a total quarrel, these are manageable. The US will not, on their own, bring the Chinese economy to the brink of disaster,” said Scott Kennedy, a senior consultant at the US Strategic Center.