U.S.–China trade dynamics have taken some dramatic turns so far in 2025—bringing uncertainty, new opportunities, and hard lessons for Asian manufacturers. With tariff talks, rare-earth export controls, and shifting sourcing patterns, it’s more critical than ever for factories in China, India, Vietnam, and beyond to stay ahead of the curve. What does it mean for your business, and how you can adapt to market shifts?
1. The 2025 Trade Landscape: What’s New?
- In July 2025, China’s Commerce Minister confirmed that high-level trade talks have prevented a new tariff war—but tariffs remain elevated (U.S. average 53.6%)Reuters.
- Separately, China cracked down on illicit rare-earth exports while encouraging cautious normalization of semiconductor tradeAP News.
- Meanwhile, U.S.–EU trade negotiations are ongoing amid threats of counter‑tariffs on €93B of U.S. goods
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