Core Viewpoint - The trade dynamics between the US and China have shifted, with the US showing unexpected compromises despite its historical position as a dominant economic power [1][12]. Economic Comparison - According to purchasing power parity, China's economic scale has surpassed that of the US, indicating that significant value creation is occurring in China [4]. - In 2024, China's GDP is projected to be 189.4 trillion USD, while the US GDP is 291.8 trillion USD, highlighting the economic scale difference [8]. - China's industrial production capabilities are unmatched globally, with steel production accounting for half of the world's output and aluminum nearly 60% [3][7]. Trade and Tariff Impacts - The US initially believed that imposing tariffs would force China to concede, but the outcome resulted in increased costs for American consumers and businesses [10][12]. - The trade conflict has led to significant disruptions in the US supply chain, affecting retail and manufacturing sectors, which in turn has caused price increases for everyday goods [10][13]. Strategic Resource Control - China's control over critical resources, such as rare earth elements, poses a significant challenge to the US, particularly in its military and high-tech industries [15]. - The US's attempts to limit technology transfers to China have backfired, as China's strategic responses have highlighted its importance in global supply chains [10][15]. Global Economic Landscape - The current economic landscape emphasizes the importance of industrial production and supply chain control over traditional financial dominance [16][18]. - The shift in power dynamics indicates that the ability to rapidly scale production and meet market demands is now a key determinant of economic strength, with China emerging as the clear leader in this regard [18].