Albany Times Union (Sunday)

Trade conf lict strains already unstable U.s.-china relations

China less likely to pressure N. Korea after new tariffs

- By Deb Reichman and Matthew Pennington Associated Press Washington

President Donald Trump’s trade battle with China will exacerbate relations with Beijing that are already fraying on several fronts as the U.S. takes a more confrontat­ional stance and an increasing­ly powerful China stands its ground.

The gloves came off Friday as the world’s two largest economies imposed tariffs on billions of dollars of each other’s goods amid a spiraling dispute over technology. It comes at a time when Washington needs China’s help in ending its nuclear standoff with North Korea.

Trump’s much-vaunted personal rapport with Chinese President Xi Jinping, whom he hosted at his Mar-a-lago resort three months after taking office, won’t help patch up difference­s, experts and former officials say.

“The notion that there’s a personal relationsh­ip which will somehow supersede China’s strategic interests and the wellbeing of the Communist Party — including its ability to manage its own economy consistent with its political interests — is absurd,” said Daniel Russel, top U.S. diplomat for East Asia under President Barack Obama.

“There’s no scenario in which an affectiona­te relationsh­ip, real or imagined, is going to stay Xi’s hand,” Russel said.

Troubles in the bilateral relationsh­ip go beyond trade. China has chafed about the scope of U.S. relations with Taiwan;

U.S. complaints about its constructi­on of military outposts on islands in the South China Sea; tougher screening of Chinese investment in the U.S.; visa restrictio­ns; and accusation­s that it’s the main source of opioids.

If not new, these are now deepening sources of tension between Washington and Beijing. Even as Trump has sought to cultivate his relationsh­ip with the increasing­ly dominant Chinese leader, his administra­tion has chosen to confront an increasing­ly defiant China on pretty much all them. It also identified China, along with Russia, as a threat in the most recent U.S. National Security Strategy.

In response, Beijing is hanging tough.

“China has made it abundantly clear that it will never surrender to blackmail or coercion,” Chinese state news agency Xinhua said Friday.

To what extent the trade tensions bleed into other aspects of the U.s.-china relationsh­ip, which has retained a mostly upward trajectory since the normalizat­ion of ties four decades ago, remains to be seen.

But Mike Pillsbury, director of the Center for Chinese Strategyat­the Hudson Institute, said U.s.china relations are headed into “uncharted waters.”

Recently returned from a visit to China, Pillsbury said he was told by government officials and businessme­n that they were confused about what the Trump administra­tion wanted them to do to get the U.S. to ease the trade tensions. They threatened to back off assisting the U.S. nuclear talks with North Korea.

“They explicitly said that,” according to Pillsbury, who has written three books on China and has advised the Trump administra­tion. “They said we will help you (the U.S.) less with North Korea if you start a trade war with us on July 6. Pretty clear, huh?”

China has, in fact, already distanced itself somewhat from its significan­t cooperatio­n with the U.S. on North Korea. After supporting tough U.N. sanctions and scaling back trade with the North after it ramped up nuclear and missile tests last year, Beijing has eased restrictio­ns on its neighbor. That shift began after Trump in March abruptly decided to hold a summit with Kim Jong Un. Once again, China has again focused on rekindling its traditiona­l alliance with Pyongyang — Xi has met Kim three times this year.

Abraham Denmark, a former senior U.S. defense official on Asia, said China has welcomed Trump’s sudden shift from confrontat­ion to diplomacy with North Korea and also his decision to halt large-scale military exercises with close U.S. ally South Korea.

Yet China also views what happens with North Korea through the lens of the geopolitic­al rivalry between the U.S. and China, he said. North Korea long served as a buffer against America’s expanding its reach in Northeast Asia to China’s border.

“If the U.S. is going to engage in a trade war, which is very troubling for China, politicall­y, it’s going to reduce their willingnes­s to cooperate on North Korea,” he said.

Denmark, who is now director of the Asia program at the Wilson Center think tank, warned of a broader deteriorat­ion in relations, as Trump pursues more aggressive policies toward Beijing, and China stakes out a position as a world player unwilling to be pushed around.

“China under Xi Jinping has been more aggressive in its pursuit of its interests. I expect we’re going to see more tensions across the board: in trade, the South China Sea, Taiwan, Korea,” Denmark said. “These are all part of the same story, which is that China is feeling more confident and powerful, and more willing to accept friction and tension in the pursuit of its interests.”

On recent trip to China, Defense Secretary Jim Mattis did some damage mitigation, talking up the importance of military cooperatio­n. Xi struck a similar note, calling military ties a “model component of our overall bilateral relations.”

That may help to ward off the possibilit­ies of unintended conflict between the two militaries, but it will not prevent a growing rift on other issues.

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