The US is no longer China's biggest export market: that spot now belongs to South East Asia. In fact China was the largest trading partner for 60 countries in 2023 - nearly twice as many as the US. The world's biggest exporter, it made a record surplus of $1tn at the end of 2024.

Comments from the president and Treasury Secretary Scott Bessent raised expectations that the economic rivals could find a way to reduce the intensity of the trade war.

Mr Trump’s decision to consider backing down in his trade war comes as the harm it has caused America’s economy becomes clearer. Trade shipments between China and the US are collapsing and a critical survey of American businesses shows growth in activity slumped to a 16-month low.