Overview

• The U.S. has imposed tariffs on Chinese imports as high as 145%, with potential increases to 245%, while China has matched these measures with levies on U.S. goods and additional restrictions.
• China has suspended rare earth mineral exports and halted Boeing aircraft purchases, signaling a broader economic and strategic response to U.S. pressure.
• President Xi Jinping is rallying an 'Asian family' alliance during a Southeast Asia tour to counter U.S. influence and discourage regional trade deals with Washington.
• Despite trade tensions, China's Q1 GDP growth exceeded expectations at 5.4%, reflecting resilience but raising questions about the sustainability of its economic trajectory.
• The World Trade Organization warns of a potential 81% reduction in bilateral trade by 2025, heightening concerns of global recession and supply chain disruptions.