Despite the fact that the United States (US) and China have been vehemently opposing each other over the past few decades, they have had established deep economic ties. However, after Donald Trump assumed presidency in January 2017, a somewhat more hostile trade war with China began with devastating consequences on the global economy. Through the lens of Realism, this paper critically analyses the phenomenon of the US-China trade war and its effects on global economy. It also highlights how this trade war adversely affects China’s Belt and Road Initiative (BRI). It also chalks out policy recommendations for both the US and China to ensure a smooth and steady rise of their economies.