Xi’s Communist Party is talking of “win-win” solutions to tensions, such as importing more goods from around the globe. Trump is all of a sudden talking down tensions, too. The absence of “day one” tariffs shocked China.

U.S. President-elect Donald Trump and Chinese President Xi Jinping discussed issues including TikTok, trade and Taiwan in a phone call on Friday, just days before Trump takes office again promising tariffs that could ratchet up tensions between the world's two biggest economies.

China's Xi JInping will attempt to use Donald Trump's penchant for transactional deal making in order to avoid new export restrictions and support for Taiwan.

President Trump’s recent statements on trade suggest a more nuanced approach to tariffs, using them as a negotiating tool rather than an immediate economic weapon. In an interview with Fox News, Trump mentioned the possibility of tariffs as a significant tool against China,