20250422 xi yuan trump

Donald Trump likely intends to ask Xi Jinping to let the Chinese yuan trade freely and to take the shackles off capital flows into and out of China. (Nikkei montage/Source photos by Yusuke Hinata, Akira Kodaka and Reuters)

Analysis: Trump's non-tariff gambit sends shivers through China

Chinese Communist Party fears acquiescing to US demand poses risks

Katsuji Nakazawa is a Tokyo-based senior staff and editorial writer at Nikkei. He spent seven years in China as a correspondent and later as China bureau chief. He was the 2014 recipient of the Vaughn-Ueda International Journalist prize.

While many countries are rushing to negotiate deals with President Donald Trump's administration to avoid higher tariffs, China is sticking to its guns in its escalating trade war with the U.S.

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