The 1% definitely skim more, but the entire American economy benefits from China trade.
Every single item stamped "Made in China" gets more expensive if the scale of embargo or sanctions were attempted that would have political impact on China. It's easier to count the shelves in Walmart that aren't full of those products than the shelves that are. Wall street would feel it, but the impact on "main street" would also be immediate and painful.
And it's not hard for a politician to sell "Every week just got more expensive for you" as ammunition against their opponent. It's a consistent talking point regarding gas prices, and gas prices fluctuate for reasons well outside the control of any single politician. When the price spikes actually are directly the result of political policy? Easy sell to replace those politicians.
Your argument works the same regardless of the atrocities committed by your trading partner. At some point the citizens of your country will need to decide wether their economic well-being merits bearing that responsibility.
Unfortunately, this is the United States we're talking about. Not to be unnecessarily morbid, but I think if one is waiting for the United States to decide the atrocities of an economic partner justify ending the economic partnership at major domestic economic cost, one will be waiting for a long time. The last time the US did something internationally that caused major domestic pain was the Vietnam War. The lesson the country seems to have learned was that it was not worth it. All subsequent international interventions have either been massively asymmetrical power situations or low-domestic-cost affairs.
Every single item stamped "Made in China" gets more expensive if the scale of embargo or sanctions were attempted that would have political impact on China. It's easier to count the shelves in Walmart that aren't full of those products than the shelves that are. Wall street would feel it, but the impact on "main street" would also be immediate and painful.
And it's not hard for a politician to sell "Every week just got more expensive for you" as ammunition against their opponent. It's a consistent talking point regarding gas prices, and gas prices fluctuate for reasons well outside the control of any single politician. When the price spikes actually are directly the result of political policy? Easy sell to replace those politicians.