And for now, at least, Beijing views the trade-deficit-obsessed Trump as a more pragmatic and adaptable partner to work with than the China hawks that called the shots during Trump’s first term. China’s leaders now believe they can broker a trade deal with Trump to reduce tensions.

Trump said Monday that he has cut a deal with chipmaker Nvidia, allowing it to sell certain artificial intelligence chips to China in exchange for a cut of the revenue, which would go to the U.S. government. Trump said he also negotiated a similar deal with chipmaker Advanced Micro Devices (AMD).

Because of what happened today, I don't think I have to think of possible increase in tariffs on China,” Trump asserted. He stated he will not have to mull about retaliatory tariffs on countries procuring Russian oil right now but may have to “in two or three weeks”.

Favoring "deals over deterrence" will damage U.S. alliances and embolden Beijing, says Craig Singleton of the Foundation for Defense of Democracies.