Chinese Government Condemns United States of ‘Hypocritical Policies’ Over Tariff Threat

Trump’s latest warning to introduce an additional full import duty on Chinese goods has been called a “typical example” of United States’ contradictory behavior, according to the Beijing administration.

A Commerce Ministry spokesperson further commented that China could enact its own unspecified “responsive actions” if the White House occupant follows through on his pledge, noting that the country was “not afraid” of a possible commercial battle.

This past Friday, the former president retaliated at the Chinese government’s action to reinforce its regulations for foreign shipments of critical elements, charging China of “adopting a confrontational stance” and attempting to hold the global community “hostage”.

Furthermore, he vowed to cancel a scheduled meeting with China’s President Xi Jinping, which was set for a conference in Seoul before the month ends.

His statements on Friday rattled stock exchanges, with the S&P 500 share index closing down 2.7%, marking its biggest drop since April.

These statements renewed apprehensions of a trade war between the two economic giants.

Earlier this year, the two sides had reached an agreement to remove significant levies on each other’s products, which had raised the prospect of bilateral trade stopping between the two countries.

As a result, US tariffs on Chinese imports subject to an extra 30% levy compared with the year’s onset, while US goods entering the country are subject to a 10% tariff.

The most recent comments from China – published by the relevant government department in the format of formal replies to press queries – mirrored rhetoric from the peak of the recent trade conflict.

The remarks condemned United States controls on chips and semi-conductors while justifying Beijing’s restrictions on exports on rare earth minerals as “routine measures” to safeguard state interests and that of the global community.

Their representative remarked that for “an extended period”, the America had “broadened the definition” of national security, misused foreign shipment regulations and “implemented” discriminatory practices against Beijing.

“Resorting to import duty warnings is not the right way to interact with the Chinese government,” the official said.

“China’s position on a tariff war has remained consistent: we are not seeking one, but we are not afraid of one.”

Last week, Beijing declared it was reinforcing foreign shipment restrictions on key elements and other materials critical for advanced tech manufacturing.

This was seen as a key move, as the nation refines about the vast majority of the world’s rare earths, which are utilized in products such as solar panels and mobile phones.

The recent comments from both governments are being interpreted by some as a strategy of enhancing bargaining power ahead of forthcoming discussions.

Is not yet known whether a meeting between Donald Trump and President Xi, planned at a summit in Seoul before month’s end, will go ahead.

Reginald Smith
Reginald Smith

A freelance writer with a passion for cultural studies and contemporary art, based in London.