However, on the other hand, China is trying to find new markets and partners. Over the last decade, Beijing has been striving to enhance its trade link with the European Union, Africa, and Latin America such that it has reduced its trade with the United States. The Belt and Road Initiative that is China’s largest global infrastructure project has been an essential role in the integration of Asia, Africa, and Europe. Some analysts say that the US trade war is making China to change its economic model and increase its interaction with the countries which are not part of the Western world.

This paper also shows that former President Trump’s policy of “America First” in trade and foreign policy has had numerous geopolitical implications. His administration has also imposed very high tariffs on its partners, including Canada and  Mexico, which has sparked a backlash from the affected countries.

The heads of State of Canada and Mexico have got 30 days’ extension of time to hold discussions with the USA, but the tension is still high and the economists agree that the American economic pressure may lead to the change of trade alliances in the long run.

Some of the policies that Trump has put in place have also reduced the leverage of  the United States in the international institutions. For instance, the previous president has made the country exit from the World Health Organization and the Paris Agreement and thus the multilateral diplomacy. Consequently, Beijing has begun to declare itself as a global power, filling the gap left by the United States in different international organizations and agreements.

The current European Union leaders, including the European Commission President Ursula von der Leyen, have expressed their concerns over the US trade policies, and they argued that the conflict may lead to an economic loss for both the United States and Europe. In the light of the above, the European Union is further enhancing its trade relations with China despite the American efforts to isolate the country.

While the trade war continues to draw people’s attention, China is also enhancing its diplomatic position in other parts of  the world. Beijing has been strengthening its relations with the main players of the international system: Russia,  the Middle East, and Latin America.

An example of the growing Chinese influence can be seen in the development of the China-Colombia relations. Even as Trump argued with Colombian leadership over US immigration policies, China’s ambassador to Colombia went to the media and said that the relations between Beijing and Bogotá have reached the ‘best moment in decades.’ This was understood by many as an attempt to enhance China’s position in Latin America, which has traditionally been an American sphere of influence.

The other important factor in the further development of the relations between the USA and the PRC is the Ukraine war. Trump has indicated that China should be allowed to solve the conflict, claiming that Beijing has the economic means  to force Russian President Vladimir Putin to negotiate.

Although China has not taken a side, it has not condemned Russia for the attack. Chinese officials have argued that their policy is based on the principle of territorial integrity while at the same time they do not want to confront Moscow. This has raised the concerns of the Western leaders, who are concerned that China’s economic relations with Russia is a threat to the US led sanctions.

For its part, Ukraine has not been fond of China given that it has become a friend of Russia. It is believed that although China may attempt to act as a mediator in the conflict, it will apply its economic and strategic interests in doing so.

It is an important few months that will define the relationship between the United States and China.  Beijing’s response to Trump’s tariffs and its global geopolitical strategies show that the conflict between the two countries is far from over.

If China increases the countermeasures that it is planning to implement including through more tariffs, supply chain restrictions and higher regulatory pressure on US companies then the trade war will be felt in the global economy. In the same manner, if the United States keeps on adopting a hostile  policy, it may force China to enhance its relations with the other world economies, which will lead to the  alteration of the trade networks. In the end, the relationship between the United States and China is one of the most significant geopolitical relationships of the 21st century and both countries are fighting for economic and  strategic power, the whole world will watch how this rivalry will evolve.

Keyeon Fan