Beijing Slams United States of ‘Hypocritical Policies’ Regarding Trade Levy Warning
Donald Trump’s newest threat to impose an further full import duty on products from China has been labeled a “typical example” of United States’ contradictory behavior, as stated by the China’s leadership.
A representative of the ministry also stated that China could introduce its own undisclosed “responsive actions” if the White House occupant follows through on his threat, adding that the country was “not afraid” of a potential trade war.
This past Friday, Trump hit back at the Chinese government’s action to tighten its regulations for foreign shipments of rare earth minerals, accusing the Chinese leadership of “becoming very hostile” and attempting to hold the global community “captive”.
He also warned to cancel a arranged talks with China’s President Xi Jinping, which was arranged for a conference in South Korea in the coming weeks.
His statements on Friday unsettled global markets, with the S&P 500 share index closing down 2.7%, marking its steepest fall since April.
These statements renewed apprehensions of a trade conflict between the two economic giants.
Earlier this year, the two sides had agreed to eliminate significant levies on each other’s imports, which had raised the prospect of trade halting between the two countries.
This left, United States levies on products from China incurring an extra import tax compared with the year’s onset, while items from the United States entering the country incur a ten percent duty.
Beijing’s recent statements – published by the relevant government department in the form of official answers to media inquiries – mirrored terminology from the zenith of the ongoing trade dispute.
They criticised US export restrictions on electronic components while supporting Beijing’s restrictions on exports on rare earth minerals as “normal actions” to safeguard domestic safety and that of the global community.
The official said that for “an extended period”, the America had “expanded the interpretation” of state security, misused overseas sale restrictions and “implemented” biased policies against China.
“Resorting to trade levy ultimatums is not the correct approach to deal with the Chinese government,” their representative commented.
“Beijing’s stance” on a trade conflict has always been unchanging: we wish to avoid one, but we are not afraid of one.”
The previous week, Beijing revealed it was strengthening export controls on rare earth minerals and additional substances essential to high-technology production.
The action was viewed as a significant step, as the nation handles about the vast majority of the global rare earth supply, which are employed in items such as photovoltaic modules and handheld devices.
The recent comments from both governments are being viewed by analysts as a means of bolstering negotiating stances ahead of forthcoming discussions.
Is not yet known whether a summit between the former president and China’s leader, planned at a conference in South Korea later this month, will go ahead.