The arrest of the Huawei executive Meng Wanzhou, above, in Canada, at Washington’s request, seemed certain to provoke a harsh retaliation from Beijing — or even upend the precarious trade truce between the U.S. and China. But seemingly against the odds, Beijing has tempered its approach. In recent weeks, President Xi began lifting new tariffs on American goods. China’s economy is in a sharp downturn, with car sales plummeting, consumer confidence low and the prospect of foreign investment diminishing. For its part, Canada is finding it very uncomfortable to be stuck in the middle of the dispute.

Source: New York Times December 13, 2018 19:21 UTC