Accent on the phrase “at the moment.” But I do think it’s highly possible that was the intent all along.
China announced on Friday that it will raise tariffs on U.S. imports from 84% to 125%, further escalating the trade war between Washington and Beijing.
The move is largely symbolic. As former Commerce Secretary Wilbur Ross told Fox News host Larry Kudlow on Thursday night, once tariffs hit 50%, further increases have limited practical impact. At that point, Ross explained, leaders effectively signal that they no longer seek a trade relationship. …
China expert Gordon Chang joined Fox News’ Maria Bartiromo on Thursday morning to discuss the mounting conflict between China and the U.S. Chinese President Xi Jinping, he claims, is in an increasingly difficult political position because he can’t do what “absolutely” must be done which is to open up the lines of communication.
“Picking up the phone and calling President Trump would be the economically rational thing to do,” Chang said, “but Xi Jinping has configured the Chinese political system so that only the most hostile answers are considered to be acceptable, which means he’s boxed himself in.” …
“The Chinese don’t have any cards in this,” he explained. “They’re only holding a pair of twos and Trump has a royal straight flush. The Chinese think they can intimidate Trump, they can coerce him into surrendering preemptively.” But Trump is not backing down. …
According to the report, the U.S. and Panama have formally entered into a new defense and security agreement designed to strengthen oversight of the Panama Canal—an initiative Defense Secretary Pete Hegseth described as essential for countering China’s expanding influence in the region.
Is Chang correct? I don’t know. This is not my field of expertise, as I’ve often stated. But it makes sense to me that the goal – or at least one big goal – is to put the squeeze on China. Much of what we get from them is shoddy consumer goods, but there’s also rare earths (do I hear Greenland? Australia? or even the US itself see this) and pharmaceuticals (do I hear India?).
NOTE: See also this.
And our resident condescending British friend has been talking about the bond market. For those who might be curious about that, please see this for some background in terms of the Trump/Vance administration.

