Amid a storm of market fury unleashed by the United States, Beijing has responded with a calculated and notable calm. While its words were firm, China’s commerce ministry refrained from immediate, specific retaliation to President Trump’s tariff threat, a strategic choice designed to project strength and prudence in the face of what it considers American impulsiveness.
The U.S. move was anything but calm. Trump’s threat of 100% tariffs was a furious reaction to China’s new controls on rare-earth minerals, which he labeled “very hostile.” The subsequent market crash, with a $2 trillion loss on Wall Street, reflected this high-octane, chaotic energy.
In stark contrast, China’s response was measured. The statement that “we do not want [a trade war], but we are not afraid of it” was a classic diplomatic formulation. It communicated resolve without escalating the rhetoric. The promise of “resolute measures” was a threat kept in reserve, not one fired in haste.
This calculated calm may have had a tactical effect. The cryptocurrency market, for one, seemed to notice. After an initial plunge, Bitcoin rallied 4%, a move some attributed to the relief that Beijing had not instantly matched Washington’s fury with its own. It suggested a door, however small, had been left open for de-escalation.
This approach allows China to occupy the diplomatic high ground, portraying itself as the mature actor in the dispute. It is a calm designed to wait out the storm, to assess the damage, and to formulate a response that is both powerful and strategic. While the world remains on edge, Beijing’s calculated response stands in sharp relief to the fury that sparked the crisis.