They know this and now they know that we know this.
Yup. If Trump stands firm, China will have to deal with tariffs if they want to continue to flood our country with their cheap labor goods. Although trade wars in the past were detrimental to both sides, there is little downside with such an approach nowadays.
The only downside for America is that Walmart, COSTCO, Target and others will have to raise prices. I'm okay with that if it increases jobs for the 94 million who have given up finding work.