The China-US trade war is ultimately a war of attrition; both sides will lose and in the end, there will be no winner. It is inevitable the trade dispute will develop into to other dimensions of investment, finance, exchange rates, high technology, and other non-trade areas.

With a truce in sight, China needs to stay alert as the U.S. might seek to challenge it in other fields.

US Vice President Mike Pence on China.

Trump is definitely an unconventional US president in many ways, including when it comes to China policy. There are special challenges to understanding his policy.

Tillerson’s replacement by Pompeo will see a more hawkish State Department, especially on China.

With the selection of CIA Director Mike Pompeo to replace Rex Tillerson as secretary of state, China in particular is more likely to become a target of the Trump administration.

Competition can be healthy for both China and the US, provided it doesn’t get out of hand.

The US faces three difficult questions.

The US should cool it on China.

Trump attacked China incessantly on the campaign trail. Since he took office however, the US is closer to China than it ever was under Obama.