Trump’s China Trade Strategy Is Dying Even If His Deal Holds Up

Liu He, China's vice premier, speaks during a ceremony for the U.S.-China "phase-one" trade agreement with President Donald Trump in Washington.

Photographer: Zach Gibson/Bloomberg

When President Donald Trump on Friday announced new measures aimed at punishing China for both its role in the Covid-19 pandemic and the new phase in Beijing’s crackdown on Hong Kong, he left one big potential action out.

The decision not to withdraw from a partial trade agreement he signed with China in January cheered investors, prompted a turnaround in markets and drew a collective sigh of relief from American farmers. That reaction may have been premature. Bloomberg News reported on Monday that Chinese officials have ordered a pause in imports of some U.S. soybeans as tensions rise.