China, amid an escalating trade war with the United States, took a significant strategic step on Wednesday by appointing Li Chenggang as its new international trade representative. This change underscores Beijing’s ambition to strengthen its negotiating position to ease the pressure from tariffs that have posed significant challenges to global markets. China’s decision also reflects its efforts to maintain influence in the global trade system, particularly within the World Trade Organization (WTO), where it presents itself as a source of stability. Li Chenggang’s appointment is not only a tactical but also a symbolic move, reflecting China’s dual strategy: addressing U.S. economic pressure on the one hand while reinforcing its position as a leader in the global trade system on the other.
Li Chenggang, 58, replaces Wang Shouwen, 59, who had been China’s trade representative since 2018 and played a key role in negotiating the 2020 China-U.S. trade agreement. No official reason for the change has been disclosed, but analysts suggest it may be Beijing’s attempt to break through in negotiations stalled by heightened tensions. Li’s experience in Geneva, where he built ties with international partners, including U.S. representatives, makes him an ideal candidate for this goal.
Li Chenggang is a highly qualified diplomat who served as China’s WTO ambassador since February 2021, where he vocally criticized U.S. tariff policies, including at the WTO General Council meeting in February, stating that the U.S. “unilaterally and arbitrarily violates WTO rules.” His decades of experience in the Ministry of Commerce, including participation in China’s WTO accession negotiations and work at the UN office in Geneva, provide a strong foundation for managing complex trade disputes.
China’s economy grew by 5.4% in the first quarter of 2025, surpassing analysts’ expectations of 5.1%, driven by strong exports and retail sales. However, Sheng Laiyun, spokesperson for the National Bureau of Statistics, warned that U.S. tariffs exert “some pressure” on exports, a key driver of China’s economy. In response, Beijing is working to boost domestic consumption and expand cooperation with Europe and the Global South, though replacing U.S. consumers remains challenging amid declining domestic consumption and a real estate crisis. Li Chenggang’s support for free trade could be a double-edged sword: it bolsters China’s image as a defender of global trade but may complicate negotiations with the Trump administration, which pursues strict protectionist policies. Thus, Li’s success will depend on his ability to balance China’s firm stance with openness to negotiations to avoid further escalation of the trade war.
President Xi Jinping actively seeks to position China as a source of “stability and certainty” in global free trade, particularly in Southeast Asia, where countering U.S. influence is a key priority. His recent visits to Vietnam and Malaysia, where discussions focused on the China-ASEAN free trade agreement with its 10 member states, underscore China’s efforts to strengthen regional partnerships and bypass trade organizations dominated by the U.S. and the West. These moves also respond to the U.S. imposing 46% tariffs on Vietnam, which were later suspended for a 90-day negotiation period.
