Amid the disruption to the global economic order caused by the Trump administration’s policy of reciprocal tariffs, the Xi Jinping administration displayed a dual posture — responding swiftly and strategically from Beijing with countermeasures, while at the same time showing a willingness to engage in practical negotiations.
This approach to foreign policy is shaped by China’s distinctive system of governance, which has long been characterized by three key dimensions: its ability to pursue medium- to long-term strategies; its fusion of pragmatic diplomacy with the ideological principle of “self-reliance”; and the persistent difficulty of maintaining control over an expansive and often unruly bureaucratic apparatus.
China’s rapid response to U.S. pressure was supported by long-term strategies such as Made in China 2025, launched in 2015 to upgrade domestic manufacturing in high-tech sectors. While Beijing’s target of achieving 70% semiconductor self-sufficiency by 2025 may not be met, this initiative has led to significant progress in fields such as artificial intelligence and next-generation telecommunications.
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