- Trump boasted the U.S. holds “incredible cards” that could “destroy China,” though he says he won’t use them.
- Washington and Beijing recently extended their trade truce, with tariffs still heavy on both sides.
- U.S. officials want China to curb sanctioned oil imports and reduce its reliance on export-led growth.
President Donald Trump stirred headlines again Monday, hinting that the U.S. holds “incredible cards” over China — cards that, if played, he claimed could “destroy” the world’s second-largest economy. Yet in the same breath, he insisted he’s not looking to use them, saying instead that Washington and Beijing are “going to have a great relationship.”
Speaking from the Oval Office alongside South Korean President Lee Jae Myung, Trump repeated his confidence. “We have much bigger and better cards than they do,” he said, pausing for effect. “They have some cards. We have incredible cards. But I don’t want to play those cards. If I did, that would destroy China. And I’m not going to play them.” What those “cards” actually are — economic leverage, political pressure, or even military tools — wasn’t made clear, leaving markets and analysts guessing.
Tariffs, Trade Truce, and a Trip to China?
Trump also revealed that he’s spoken recently with Chinese President Xi Jinping and is weighing a trip to China, “probably during this year or shortly thereafter.” The comment comes just weeks after Washington and Beijing extended their tariff truce for another 90 days, keeping tensions on pause but hardly settled. At the moment, U.S. tariffs on most Chinese imports sit around 30%, with some duties spiking as high as 145% earlier in the year. Beijing has responded with a 10% levy on American goods.
Treasury Secretary Scott Bessent has warned repeatedly that China’s oil deals with Russia and Iran remain flashpoints in ongoing negotiations. He argued last month that Beijing’s willingness to import sanctioned crude is undermining global stability, fueling both Moscow’s and Tehran’s influence. Despite sanctions, China remains the world’s top buyer of Iranian oil and the second-largest importer of Russian supplies.
Bigger Picture: U.S. Wants to Curb China’s Role
The Trump administration isn’t just concerned about oil. Bessent has also spoken about limiting China’s dominance as the world’s manufacturing hub. He wants Beijing to scale back its vast export economy and take on more responsibility as an import partner — a balance Washington believes would help stabilize trade relationships.
While Trump framed his remarks in trademark bravado, his administration is still threading a needle: pushing for leverage, trying to keep negotiations alive, and at the same time, hinting at deeper structural changes to the global trade system.
