**China Fires First Shot in Renewed Trade War with U.S. as Trump Threatens Tariffs**

China has initiated the first move in a newly rekindled trade conflict with the United States, following President-elect Donald Trump’s threats to increase tariffs on Chinese goods. Throughout his campaign, Trump proposed a significant 60% tariff on Chinese exports, a potential blow to China's economy. These tariffs are a core element of Trump's "America First" economic policy, which aims to protect U.S. industries and foster economic growth. His promises to revive the economy, which he argued had stagnated under the Biden administration, played a key role in his return to the White House.

In response to Trump's threats, Liu Pengyu, spokesperson for the Chinese Embassy in the U.S., emphasized the risks such measures could bring. "There is no winner in a trade war, nor will the world benefit from it. Further increasing tariffs on Chinese products will only significantly drive up the cost of imported goods, inflict more loss on American companies and consumers, and will eventually backfire," Liu told Newsweek in an exclusive statement. The previous trade confrontation between Trump and Beijing, which included broad tariffs on Chinese imports followed by retaliatory tariffs from China, had significant economic ramifications.

Experts believe that China is more prepared to deal with a potential new trade war. Wendy Cutler, vice president at the Asia Society Policy Institute, noted that Beijing has taken steps to reduce dependence on U.S. imports by reinvesting in its own industries and enhancing trade with ASEAN, African, and Latin American countries. However, the bilateral trade volume between the U.S. and China remains substantial, close to $600 billion, indicating that new tariffs would still impact both economies considerably.

The economic concerns are underscored by Inu Manak, a trade policy fellow at the Council on Foreign Relations. Manak highlighted the likelihood of China having a list of retaliatory tariffs ready should Trump enforce his proposed tariff hikes. She pointed out that, during the previous trade war, China targeted U.S. agriculture, causing notable distress among American farmers and ranchers. Manak warned that renewed tariffs could have an inflationary impact, compounding the economic dissatisfaction already felt by voters.

Both Liu and Manak stress that a trade war would have significant internal costs for the U.S. and could increase global economic uncertainty. Potential tariffs could further strain the already tense relationship between the world's two largest economies, disrupt supply chains, and raise prices for consumers. Recognizing these factors, some experts suggest that targeted tariff increases on strategic products might be a more prudent approach rather than broad tariff hikes, which could lead to widespread inflation.

Additionally, Canada's financial bodies are bracing for the possibility of increased tariffs if Trump’s administration resumes a hardline trade policy. The Canadian Chamber of Commerce has urged the government to support businesses in adapting to potential changes in trade with the U.S., Canada's largest trading partner.

The ongoing trade tensions between the U.S. and China, which first flared up under Trump's administration in 2018, continue to have far-reaching effects on international trade and economic diplomacy. While some of Trump's trade policies have persisted under the Biden administration, the approach towards China remains confrontational. As the situation evolves, the global markets and economies remain watchful of each strategic move in this high-stakes economic rivalry.