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As China Looks for Way Out of U.S. Trade Deadlock, Fentanyl Could Be Key

The New York Times's profile
The New York Times
9h ago

China is considering using its cooperation in stemming the flow of fentanyl to the United States as leverage to break the current trade deadlock between the two countries. Previously, China banned all variants of fentanyl in 2019 to curry favor with President Trump amidst accusations of insufficient action against the drug's flow. The Trump administration has since imposed additional tariffs on China, citing fentanyl as a reason, while China has responded with similarly high tariffs. China’s Ministry of Commerce has indicated a willingness to negotiate, provided the U.S. shows sincerity, and is considering sending top security official Wang Xiaohong to lead discussions on fentanyl. The Chinese government hopes that a show of cooperation on fentanyl might lead to a mutual reduction in tariffs, facilitating a resolution to the trade dispute.

As China Looks for Way Out of U.S. Trade Deadlock, Fentanyl Could Be Key

China has historically used its efforts in controlling the flow of fentanyl as a strategic leverage point in trade negotiations with the United States, previously banning all variants of the opioid in 2019 to gain favor with President Trump.

The Trump administration has imposed high tariffs on Chinese goods, citing the fentanyl crisis as a rationale, while China has reciprocated with equally high tariffs, creating an economic stalemate that threatens global growth.

The Chinese Ministry of Commerce has signaled a potential willingness to negotiate with the U.S. but insists that talks will only proceed if the U.S. demonstrates genuine intent to resolve the issues.

China is contemplating sending Wang Xiaohong, a close ally of President Xi and the minister of public security, to the U.S. to initiate dialogue focused on fentanyl, which could serve as a catalyst for broader trade negotiations.

Beijing has expressed a desire for the U.S. to lift tariffs as a condition for talks and is considering offering enhanced cooperation on fentanyl as a means to de-escalate tensions and provide a face-saving solution for both nations.

China has rejected accusations of responsibility for the U.S. fentanyl crisis, arguing that it reflects deeper social issues within the U.S., while also releasing a white paper detailing its own fentanyl control measures.

Despite the previous freeze in cooperation due to political tensions, recent dialogue between Chinese and U.S. officials has shown progress, with China expanding oversight on precursor chemicals, although enforcement remains challenging due to the dual-use nature of these chemicals.

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