A day after Donald Trump imposed a 10% tariff on Chinese imports, China's Ministry of Foreign Affairs hit back at the US, calling its "unilateral decision a violation of World Trade Organisation's (WTO) rules. In a sharp yet measured response to Trump's action, China said it opposes the move and warned of necessary countermeasures to defend its legitimate rights, including filing a lawsuit at WTO.
"China's position is firm and consistent. Trade and tariff wars have no winners. The US' unilateral tariff hikes severely violate WTO rules. This move cannot solve the US' problems at home and more importantly, does not benefit either side, still less the world," the ministry added.
Beijing said it had one of the strictest and most thorough drug control policies in the world and called on the US to address its fentanyl crisis objectively and rationally. "The fentanyl crisis is a US issue. In a humanitarian spirit, China has supported US efforts to address the fentanyl crisis. At the US' request, China became the first country in 2019 to officially list the entire class of fentanyl substances. China and the US have engaged in extensive anti-drug cooperation with notable results that are widely recognised," the statement added.
"The US needs to view and solve its own fentanyl issue objectively and rationally instead of threatening other countries with arbitrary tariff hikes. Additional tariffs are not constructive and bound to affect and harm the counternarcotics cooperation between the two sides in the future," the ministry said. It also called on the US to correct its wrongdoings, maintain the hard-won positive dynamics in the counternarcotics cooperation, and promote the steady, sound and sustainable development of the China-US relationship.
The response stopped short of the immediate escalation that had marked China's trade showdown with Trump in his first term as president and repeated the more measured language Beijing has used in recent weeks, considering that the sluggish Chinese economy now relies more on exports.
Experts believe though China does not want a trade showdown with Trump, like in his first term as president, and would resort to devaluation of its currency. This was a tactic that China used effectively during Trump’s first term and doing so would help it avoid escalating tensions with the United States.
