China Accuses United States of ‘Double Standards’ Concerning Trade Levy Warning
Donald Trump’s latest threat to impose an extra full import duty on products from China has been called a “typical example” of United States’ contradictory behavior, per the Beijing administration.
A Commerce Ministry spokesperson further commented that Beijing could implement its own undisclosed “retaliatory steps” if the US President carries out his pledge, adding that the country was “unafraid” of a possible trade conflict.
Last Friday, Trump retaliated at Beijing’s move to tighten its rules for foreign shipments of rare earth minerals, accusing the Chinese leadership of “becoming very hostile” and attempting to hold the world “under its control”.
Furthermore, he warned to withdraw from a arranged summit with Beijing’s head of state President Xi, which was set for a conference in South Korea later this month.
Trump’s comments on that day unsettled financial markets, with the benchmark US stock index falling by nearly three percent, marking its biggest drop since April.
The president’s words renewed fears of a commercial dispute between the US and China.
Earlier this year, the respective governments had agreed to drop significant levies on each other’s products, which had led to concerns of commerce ceasing between the economic powers.
As a result, US tariffs on products from China facing an extra 30% levy compared with the start of the year, while items from the United States entering the country face a ten percent duty.
The most recent comments from China – released by the Ministry of Commerce in the manner of written responses to journalist’s questions – echoed rhetoric from the height of the recent trade conflict.
Officials denounced United States controls on semiconductors and chips while supporting Beijing’s overseas sale regulations on rare earths as “normal actions” to ensure domestic safety and that of the global community.
The spokesperson remarked that for “many years”, the United States had “expanded the interpretation” of state security, abused export control measures and “implemented” biased policies against Beijing.
“Resorting to trade levy ultimatums is not the proper method to interact with China,” the spokesperson said.
“China’s position on a import duty dispute has remained steady: we wish to avoid one, but we are not afraid of one.”
Recently, China declared it was strengthening export controls on rare earths and other materials vital for high-technology production.
This was seen as a significant step, as the state handles about the vast majority of the planet’s critical minerals, which are used in items such as solar panels and mobile phones.
New remarks from both governments are being seen by some as a strategy of enhancing bargaining power in preparation for forthcoming discussions.
Remains uncertain whether a summit between Donald Trump and President Xi, expected at a conference in the Republic of Korea later this month, will still proceed.