China Accuses US of ‘Hypocritical Policies’ Regarding Trade Levy Warning
Trump’s most recent threat to introduce an further complete levy on Chinese goods has been called a “classic case” of United States’ contradictory behavior, per the China’s leadership.
A official from China’s Commerce Ministry additionally remarked that Beijing could implement its own unrevealed “countermeasures” if the US President follows through on his warning, noting that the country was “fearless” of a potential trade conflict.
This past Friday, the former president hit back at China’s decision to strengthen its regulations for overseas sales of rare earth minerals, accusing Beijing of “becoming very hostile” and attempting to hold the world “under its control”.
He also warned to cancel a scheduled meeting with Chinese leader Xi, which was arranged for a summit in Seoul in the coming weeks.
His statements on last Friday rattled global markets, with the benchmark US stock index falling by nearly three percent, marking its largest decline since last spring.
These statements revived concerns of a trade war between the United States and China.
This past spring, the respective governments had reached an agreement to drop triple-digit tariffs on each other’s goods, which had created the possibility of bilateral trade stopping between the two countries.
Consequently, US tariffs on products from China incurring an additional import tax compared with the year’s onset, while US goods entering the country are subject to a 10% tariff.
Beijing’s recent statements – issued by the Commerce Ministry in the format of official answers to journalist’s questions – mirrored language from the peak of the recent trade conflict.
The remarks condemned US export restrictions on chips and semi-conductors while supporting the country’s own restrictions on exports on rare earths as “normal actions” to protect national security and that of every country.
The official said that for “an extended period”, the America had “expanded the interpretation” of state security, abused overseas sale restrictions and “adopted discriminatory practices against Beijing.
“Using” tariff threats is not the right way to interact with the Chinese government,” the official stated.
“The nation’s view” on a trade conflict has remained consistent: we are not seeking one, but we are fearless of one.”
Last week, China announced it was strengthening overseas sale regulations on rare earths and other materials critical for high-technology production.
This was seen as a significant step, as the state refines about 90% of the planet’s critical minerals, which are used in products such as renewable energy components and handheld devices.
New remarks from Washington and Beijing are being interpreted by observers as a method of bolstering negotiating stances in preparation for future trade talks.
It is unclear whether a talks between Donald Trump and Xi Jinping, expected at a conference in Seoul later this month, will go ahead.