Beyond the Trade War: Daniel Kritenbrink’s US-China Relations Pragmatism Strategy in 2026

Shaking hands while keeping fists clenched—that's the current state of US-China relations. Daniel J. Kritenbrink, a partner at The Asia Group and former Assistant Secretary of State, argues that returning to the past is unrealistic. In an exclusive interview with SCMP, he suggests that both superpowers must embrace a more grounded approach to avoid a catastrophic conflict.

Navigating the Intersection: US-China Relations Pragmatism Strategy

Under the second Trump administration, geopolitics has become more central to commercial strategy than ever. Kritenbrink notes that multinational firms are now forced to navigate a landscape defined by export controls, tariffs, and supply chain shifts. He emphasizes that a successful US-China relations pragmatism strategy requires businesses to weigh both the risks and the undeniable benefits of remaining connected to the world's two largest economies.

From Tariff Wars to a Fragile Truce

The relationship has evolved from a simple tariff war into a complex supply chain war. While the situation has stabilized into what some call a 'fragile truce' in early 2026, the underlying tensions haven't vanished. Kritenbrink stresses that reducing the trade deficit and driving production back to the United States remain top priorities for Washington, necessitating a cautious yet pragmatic path forward.