On the campaign trail last year, President Donald Trump talked tough about imposing tariffs as high as 60% on Chinese goods and threatened to renew the trade war with China that he launched during his first term.

Donald Trump said he held a “very good” phone call with China’s President Xi Jinping, as the US-President elect prepares to return to the White House next week.

Both are small nations in Trump’s sights because they possess valuable territorial assets he covets. In Denmark’s case, it is the strategic Arctic territory of Greenland and in Panama’s, the shipping canal built by America over a century ago.

Donald Trump began his second presidency on January 20, 2025, prompting countries worldwide to brace for potential disruptions. Among the most watchful is China, whose leadership remains divided on how to approach another Trump term.