China's current core interest is not the trade war with USA, we can afford to lose a few penny that even the total export to US only is about 2% of the total GDP compared with nation like Vietnam, a staggering 35%, not to mentioned business with USA are still ongoing even under huge tariff, US is suffering both economically and something much bigger, reputation and allies trust.
Our current core interest are technological race in areas like AI, Robotic, Drones, EV/battery, chips etc...these are the things that is going to determine the future of a nation both civilian and military.