China Accuses America of ‘Hypocritical Policies’ Regarding Trade Levy Warning

The former US president’s most recent ultimatum to impose an extra complete levy on Chinese goods has been described as a “classic case” of United States’ contradictory behavior, according to the China’s leadership.

A representative of the ministry further commented that Beijing could enact its own unspecified “countermeasures” if the White House occupant follows through on his threat, emphasizing that the country was “unafraid” of a potential trade conflict.

Last Friday, the former president retaliated at Beijing’s move to tighten its regulations for foreign shipments of rare earths, accusing China of “becoming very hostile” and attempting to hold the global community “captive”.

Additionally, he vowed to pull out of a scheduled meeting with China’s President President Xi, which was expected to take place during a meeting in South Korea in the coming weeks.

His statements on Friday rattled stock exchanges, with the S&P 500 share index dropping nearly three percent, marking its steepest fall since last spring.

The president’s words revived concerns of a commercial dispute between the US and China.

This past spring, the respective governments had consented to drop significant levies on each other’s products, which had raised the prospect of trade halting between the two nations.

As a result, US tariffs on Chinese imports facing an added thirty percent tariff compared with the start of the year, while American products entering the country face a 10% tariff.

China’s latest remarks – released by the Commerce Ministry in the format of official answers to media inquiries – reflected language from the peak of the latest commercial tensions.

They criticised US export restrictions on electronic components while defending Beijing’s export controls on key elements as “routine measures” to safeguard state interests and that of the global community.

The official said that for “an extended period”, the America had “expanded the interpretation” of state security, abused overseas sale restrictions and “adopted unfair treatments against the Chinese nation.

“Resorting to tariff threats is not the proper method to deal with China,” the official said.

“Beijing’s stance” on a trade conflict has always been consistent: we do not want one, but we are not afraid of one.”

The previous week, the Chinese government announced it was reinforcing export controls on rare earth minerals and additional substances critical for advanced tech manufacturing.

This move was regarded as a key move, as the country refines about the vast majority of the global rare earth supply, which are employed in goods such as solar panels and smartphones.

New remarks from both governments are being viewed by analysts as a strategy of strengthening positions in preparation for forthcoming discussions.

Remains uncertain whether a talks between Trump and Xi Jinping, expected at a conference in the Republic of Korea in the coming weeks, will take place as planned.

William White
William White

A tech journalist and startup advisor based in Toronto, specializing in AI and digital transformation.