Faltering U.S. industrial leadership has allowed China to take a harder trade stance as President-elect Donald Trump prepares to take office

When Donald J. Trump fired the opening shots in a trade war during his first term, Chinese officials often took days to respond and Chinese businesses followed every threat with alarm.

But this week, after the Biden administration broadened its restrictions on advanced technology that could be sent to China, Beijing announced sweeping retaliation in a single day. The country’s stock market investors mostly shrugged at the Biden administration’s action.