True. Plus trump (no surprise) isn't aware of this. He still thinks China wants and needs the US. The first part is true, but the second isn't. They are stronger now and see Trump's bumbling has given them a chance to pummel the US. And they are willing to take the pain to do it.
The equivalent of the entire population in the United States (340 million) could disappear in China and they would still have over 1 billion people left.