Trade war between the U.S. and China is symbolic – trade ties flex and are durable at the core

Whether all this amounts to a full-on trade war between the U.S. and China is a question of semantics. Tang says businesses are constantly shifting strategy in response to geopolitical tensions and changing trade dynamics. “This kind of supply chain restructuring has evolved along with tariffs and trade barriers,” he says. “It’s happened throughout history.”

In any case, don’t expect the move toward “decoupling” to sever the U.S.-China trade relationship entirely. “Indirect trade throughout China, behind the scenes, will not disappear,” Tang says. When it comes to sheer manufacturing capacity, efficiency and scale, “no other countries right now can do what China can do.” Even those manufacturers taking advantage of production fleeing China will continue to rely heavily on the nation for essential parts and raw materials.

Meanwhile, the “trade war” will continue to wage. “It doesn’t matter who wins elections,” says Tang. “Tariffs are not going to disappear. That’s how you get voters to vote for candidates – by protecting American jobs.”