Faced with economic disruption, Beijing is presenting itself as too powerful to succumb to U.S. pressure. It is also censoring criticism at home.

What was supposed to be a historic, era-defining trade war launched by US President Donald Trump against range of countries has, for now, narrowed in on a singular target: China.

China's consumer prices fell for the second straight month in March while factory-gate deflation worsened, as an escalating U.S. trade war heightened worries about mounting piles of unsold exports that could drive domestic prices even lower.

A deepening trade war could further weaken ties between the superpowers. The effects will reverberate everywhere.

As President Trump threatens China with even more tariffs, Beijing says it will never bow to "unilateral bullying," and "will fight to the end."

“Xi will not be forced into a call,” said Sun Yun, director of the China program at the Washington-based think tank Stimson Center. Only once in recent history, she noted, has a Chinese leader phoned the United States without invitation — after the 9/11 terrorist attacks. The trade tensions, if unchecked, could spill into other domains, she warned.

China entered 2025 with a boost in economic activity, and officials are ready to roll out more support if growth slows. Huang Yiping, a monetary policy adviser to the People’s Bank of China, told Bloomberg Television on Wednesday at the Boao Forum for Asia that September’s stimulus has already steadied the economy.

Trump’s China strategy centers on tying up Beijing with tariff war and eliminating decades-long reliance on China for critical industries and minerals, thus avoiding a kinetic war over Taiwan.

China on Monday accused the U.S. of unilateralism, protectionism and economic bullying with tariffs, while calling on representatives of American companies, including Tesla, to “take concrete actions” to resolve the issue.