Chinese Government Condemns US of ‘Double Standards’ Over Trade Levy Warning
The former US president’s newest ultimatum to impose an additional complete levy on products from China has been labeled a “prime illustration” of US double standards, per the Chinese government.
A Commerce Ministry spokesperson further commented that China could implement its own unrevealed “retaliatory steps” if the White House occupant follows through on his threat, noting that the country was “unafraid” of a looming commercial battle.
Last Friday, the former president responded at the Chinese government’s action to reinforce its policies for foreign shipments of rare earths, charging China of “becoming very hostile” and attempting to hold the world “captive”.
Additionally, he warned to cancel a arranged summit with China’s President Xi Jinping, which was expected to take place during a summit in South Korea later this month.
His statements on Friday unsettled financial markets, with the benchmark US stock index dropping 2.7%, marking its largest decline since earlier this year.
His comments reignited apprehensions of a trade war between the US and China.
In May, the respective governments had reached an agreement to drop triple-digit tariffs on each other’s products, which had led to concerns of commerce ceasing between the economic powers.
As a result, US tariffs on Chinese goods incurring an extra import tax compared with the year’s onset, while American products entering the Chinese market incur a ten percent duty.
China’s latest remarks – published by the Commerce Ministry in the manner of formal replies to press queries – reflected language from the zenith of the latest commercial tensions.
The remarks condemned US export restrictions on semiconductors and chips while justifying the country’s own export controls on rare earths as “normal actions” to ensure state interests and that of all nations.
The spokesperson stated that for “many years”, the United States had “overstretched the concept of state security, misused overseas sale restrictions and “adopted biased policies against the Chinese nation.
“Turning to” tariff threats is not the right way to interact with the Chinese government,” their representative stated.
“China’s position on a trade conflict has consistently been unchanging: we do not want one, but we are unafraid of one.”
The previous week, Beijing announced it was reinforcing export controls on rare earths and additional substances vital for advanced tech manufacturing.
This was seen as a key move, as the country refines about the vast majority of the planet’s critical minerals, which are utilized in goods such as photovoltaic modules and mobile phones.
New remarks from both governments are being interpreted by analysts as a strategy of strengthening positions in preparation for forthcoming discussions.
It is unclear whether a summit between Donald Trump and Xi Jinping, planned at a summit in South Korea in the coming weeks, will take place as planned.
