'Like egrets and water buffalo': Startup founder says US-China trade war too shall be solved soon

Startup founder Akshat Shrivastava believes the escalating US-China trade war is less of a crisis and more of a high-stakes negotiation. As tensions surged following President Donald Trump's decision to impose a 125% tariff on Chinese imports, Shrivastava argued the two countries remain bound by mutual dependence.

"US needs to buy things from China (it can provide stuff at the cheapest price for best quality). China needs to sell things to the US (it has a great customer base). This is a symbiotic relationship like: Egrets and Water Buffalo,” he wrote on X.

Trump's move, announced this week, shocked markets and marked a sharp escalation in the trade conflict. While the US paused tariff hikes for over 75 trading partners, citing cooperation, it singled out China for immediate action. "Based on the lack of respect that China has shown to the World's Markets, I am hereby raising the Tariff charged to China by the United States of America to 125%, effective immediately,” Trump said. 

He added, “At some point, hopefully in the near future, China will realize that the days of ripping off the U.S.A., and other Countries, is no longer sustainable or acceptable.”

Other countries including Canada and Mexico were spared the brunt of the increase, with most goods under the USMCA trade agreement exempted. Still, non-exempt items from these nations will face tariffs as high as 25%, while Canadian energy and fertilizer products will be taxed at 10%.

In a post on Monday, Shrivastava compared the current environment with past economic shocks. "2020 was a genuine crises. Within a few months, the markets (after falling) made an all-time-high. 2025 is a manufactured crisis. People have been saying a lot of stuff. At the end of the day: it is a giant negotiation, not really a crisis."

He noted the presence of "uncertainty and egos," but dismissed comparisons to past global meltdowns. "Markets can remain uncertain. But, you can't compare this to 2020 or even 2008 recessions."