China Accuses US of ‘Double Standards’ Over Trade Levy Warning
The former US president’s latest threat to enforce an additional complete levy on items imported from China has been described as a “prime illustration” of US double standards, per the Beijing administration.
A representative of the ministry also stated that China could implement its own unspecified “countermeasures” if the American leader follows through on his pledge, noting that the country was “unafraid” of a potential commercial battle.
This past Friday, Trump retaliated at the Chinese government’s action to tighten its rules for overseas sales of rare earth minerals, charging China of “turning aggressive” and attempting to hold the world “hostage”.
He also vowed to withdraw from a arranged summit with China’s President Xi, which was expected to take place during a summit in Seoul later this month.
Trump’s comments on Friday rattled financial markets, with the S&P 500 dropping 2.7%, marking its steepest fall since earlier this year.
The president’s words renewed apprehensions of a trade war between the two economic giants.
In May, the two sides had agreed to eliminate triple-digit tariffs on each other’s goods, which had raised the prospect of trade halting between the two nations.
As a result, American import duties on Chinese imports facing an added 30% levy compared with the year’s onset, while American products entering the Chinese market are subject to a 10% tariff.
China’s latest remarks – published by the relevant government department in the manner of formal replies to journalist’s questions – echoed terminology from the zenith of the recent trade conflict.
The remarks condemned American limits on exports on chips and semi-conductors while defending Beijing’s overseas sale regulations on rare earths as “routine measures” to protect state interests and that of the global community.
Their representative stated that for “a long time”, the US had “expanded the interpretation” of national security, misused overseas sale restrictions and “adopted unfair treatments against the Chinese nation.
“Using” import duty warnings is not the correct approach to deal with China,” their representative said.
“China’s position on a tariff war has always been steady: we wish to avoid one, but we are not afraid of one.”
The previous week, the Chinese government announced it was reinforcing foreign shipment restrictions on rare earths and other materials essential to cutting-edge industry.
The action was viewed as a significant step, as the state processes about the vast majority of the global rare earth supply, which are employed in products such as photovoltaic modules and smartphones.
New remarks from the US and China are being seen by observers as a method of bolstering negotiating stances ahead of forthcoming discussions.
Is not yet known whether a meeting between Trump and China’s leader, scheduled at a high-level meeting in Seoul before month’s end, will go ahead.
