Game theoretic modelling commonly results in early escalation followed by a slower de-escalating as a winning strategy. Fits into the strong-arm approach to politics of exercising power to expand power which the current US administration seems to follow.
Thus, I wouldn't think that decoupling or falling of a cliff is the intended goal.
No matter how many times Trump uses the strategy he literally wrote a book about, the reaction to the initial escalation is always the same. It is remarkable.