Wall Street Journal: 'China called Trump's bluff and seems to have won this round'

The Wall Street Journal editorial board thinks China is winning the trade war against the U.S. and President Trump, according to its latest essay.

"The good news is that at least Mr. Trump is finally listening to reality," the Journal wrote in an editorial published Wednesday. "There couldn’t have been a clearer market test in the last three weeks about the economic damage these columns warned about. The MAGA media echo chamber that praised Mr. Trump’s tariffs as strategic genius looks foolish."

Another "harsh reality" the Journal added, "is that China called Mr. Trump’s bluff and seems to have won this round."

The board drew comparison to the president's first term, explaining that Chinese President Xi Jinping retaliated with some restraint and later sent a delegation to negotiate.

"The question going forward is whether Mr. Trump is internalizing these economic and political lessons or merely pausing to fight his trade war another day," the Rupert Murdock-owned outlet continued. "We doubt even Mr. Trump knows the answer, since so much of his decision-making is ad hoc."

The Journal has routinely ridiculed Trump over his trade policies and economic agenda in recent weeks, slamming him for the negative impact it has had on markets during his first 100 days in office.

The president has dismissed such criticisms from the Journal, saying the newspaper has been "dead wrong" about his policies and separately accusing Murdoch of trying to "tear him down."

The latest critique comes after Trump suggested negotiations were underway that could significantly lessen the 145 percent tariffs on Beijing. China refuted the claims on Thursday, calling them "groundless."