The U.S.-China trade war is in full swing, with neither side showing signs of backing down.
Does China have some not-so-secret weapons that will help it outlast the U.S. in the trade war?
It might seem so. Chinese leaders remind youth that they should learn to endure hardships—“eat bitterness,” as the Chinese say—unlike overweight and lazy Americans. Its autocratic government brooks no dissent so decision-making should be easier than in fractious America and decisions should stick longer. And China has dozens of ways to make life miserable for U.S. companies, who can be relied upon to lobby Washington to back off.
Andrew Chang explains how China is positioned to absorb the shock of U.S. tariffs and what this global economic disruption could mean for their place in the world order. Note: Since the publication of this video, China has increased its tariffs on U.S. imports to 125%. The White House also announced the U.S. tariff rate on goods from China would increase to 145%, not 125 per cent. We have updated the thumbnail to reflect the new figures.