Yes they are hoping to wear us down and take us over, but our citizens led boycotts are helping to hurt them more than they expected or are willing to admit.
And the "buy Canadian" movement is also helping blunt the damage their tariffs are causing.
As for a plan, the federal government has been strengening ties with the rest of the world ever since Trump first pulled the 51st state bullshit out of his ass. And that continues. For example, Carney led a delegation to meetings with EU partners over the last 72 hours, where they were specifically discussing international security cooperation.
Initially the meetings were planned to discuss helping Ukraine, but they also has a lot of discussion about Trump's latest atrocity in Venezuela and his ongoing and renewed threats against various other countries including Greenland, Mexico , Canada and the long list of others.
Trump is mostly just being a puppet, you are correct in that, but he is also making off the rails speeches and whackadoodle claims in interviews that cause their own sort of chaos and uncertainty.
The EU is almost the same size of market as the US, and the southeast Asian countries as a group are a larger customer than either of those.
Cutting off the US won't cripple China. Plus the Chinese government is very willing to play the long game if they can foresee an eventual positive outcome for themselves.
Why do you think Trump's goons are there?
It's the same reason why they went hard on California a few months ago.
The ICE terrorists are threatening the places who are most likely to stand in the way of their fascist takeover.