Chinese Government Condemns United States of ‘Contradictory Stances’ Over Trade Levy Warning

The former US president’s newest threat to impose an additional full import duty on products from China has been called a “typical example” of American hypocrisy, according to the Chinese government.

A representative of the ministry further commented that China could implement its own undisclosed “countermeasures” if the White House occupant carries out his warning, emphasizing that the country was “not afraid” of a potential trade war.

This past Friday, Donald Trump hit back at the Chinese government’s action to tighten its regulations for exports of rare earths, charging Beijing of “becoming very hostile” and attempting to hold the world “under its control”.

He also vowed to pull out of a scheduled talks with Chinese leader President Xi, which was set for a meeting in South Korea in the coming weeks.

The former president’s remarks on Friday unsettled global markets, with the S&P 500 closing down nearly three percent, marking its biggest drop since last spring.

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

In May, the two sides had agreed to remove triple-digit tariffs on each other’s products, which had created the possibility of bilateral trade stopping between the economic powers.

Consequently, American import duties on Chinese goods incurring an added thirty percent tariff compared with the start of the year, while American products entering the country face a 10% tariff.

Beijing’s recent statements – released by the relevant government department in the manner of formal replies to press queries – mirrored language from the peak of the ongoing trade dispute.

The remarks condemned United States controls on chips and semi-conductors while defending China’s own restrictions on exports on key elements as “standard procedures” to ensure domestic safety and that of the global community.

The official remarked that for “many years”, the US had “expanded the interpretation” of domestic safety, abused overseas sale restrictions and “adopted biased policies against the Chinese nation.

“Using” trade levy ultimatums is not the proper method to deal with China,” the spokesperson commented.

“Beijing’s stance” on a import duty dispute has remained steady: we are not seeking one, but we are unafraid of one.”

Last week, the Chinese government announced it was tightening foreign shipment restrictions on rare earths and additional substances critical for cutting-edge industry.

This move was regarded as a important measure, as the state refines about 90% of the global rare earth supply, which are used in goods such as photovoltaic modules and smartphones.

The recent comments from the US and China are being interpreted by observers as a means of enhancing bargaining power ahead of forthcoming discussions.

Remains uncertain whether a meeting between the former president and Xi Jinping, scheduled at a high-level meeting in the Republic of Korea before month’s end, will take place as planned.