China cautions countries against signing trade deals with the US.
China has cautioned other nations against striking trade deals with the US that could compromise its interests, escalating tensions in the ongoing trade war between the world’s two largest economies.
Beijing’s warning comes in response to reports that the Trump administration plans to pressure countries into limiting their trade with China in exchange for tariff exemptions or reductions.
While the US President Donald Trump slapped the rest of the world with a blanket 10 per cent tariff, China faces levies of up to 145 per cent on many products.
Beijing has also responded with duties of 125 per cent on US goods.
The Trump administration has said that a number of countries are now engaged in negotiations with the United States to lower tariffs.
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But on Monday, China’s Commerce Ministry said it “firmly opposes” other countries making broader economic deals with America that compromise its interests.
“Appeasement will not bring peace, and compromise will not be respected,” a spokesperson for Beijing’s commerce ministry said in a statement.
“To seek one’s own temporary selfish interests at the expense of others’ interests is to seek the skin of a tiger,” Beijing said.
That approach, it warned, “will ultimately fail on both ends and harm others”.
“China firmly opposes any party reaching a deal at the expense of China’s interests,” the spokesperson said.
“If such a situation occurs, China will never accept it and will resolutely take reciprocal countermeasures,” they added.
Beijing also slammed Washington for “abusing” tariffs on all trading partners under the “banner of so-called ‘equivalence’, while also forcing all parties to start so-called ‘reciprocal tariffs’ negotiations with them.”
China is determined and capable of safeguarding its own rights and interests and is willing to strengthen solidarity with all parties, the ministry said.
US-China Trade War
US President Trump’s tariff blitz has seen Washington and Beijing impose eye-watering duties on imports from the other, fanning a standoff between the economic superpowers that has sparked global recession fears and sent markets into a tailspin.
Recently, citing sources, Bloomberg reported that the Trump administration is preparing to pressure nations seeking tariff reductions or exemptions from the US to curb trade with China, including imposing monetary sanctions.
Trump has also said that the United States was in talks with China on tariffs, adding that he was confident the world’s largest economies could make a deal to end the bitter trade war.
“Yeah, we’re talking to China… I would say they have reached out a number of times,” Trump told reporters in the Oval Office on Thursday.
“I think we’re going to make a very good deal with China.”
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China has vowed to fight a trade war “to the end” and has not confirmed that it is in talks with Washington, though it has called for dialogue.
It has slammed what it calls “unilateralism and protectionism” by the United States – and warned about an international order reverting to the “law of the jungle”.
“Where the strong prey on the weak, all countries will become victims,” Beijing said Monday.
