Published: Sat, June 02, 2018
Worldwide | By Stella Potter

White House: U.S. to continue trade actions against China

White House: U.S. to continue trade actions against China

The trade-related actions were announced following a report by the Office of the US Trade Representative regarding China's practices with respect to technology transfer, intellectual property and innovation. "Those exports are precisely the exports in the China 2025 industries.", said Peter Navarro the White House Director of Trade and Industrial Policy.

"The statement yesterday "historic" in nature is twofold one the President is going to levy a 25 percent tariff on $50 billion worth of Chinese exports to us".

It was just a week ago that U.S. Treasury Secretary Steven Mnuchin declared, "We're putting the trade war on hold", and stock markets breathed a sigh of relief.

Earlier, in the height of a trade row, the Trump administration had demanded China to reduce its $375 billion trade surplus against the by $100 billion while China retaliated with similar measures imports from the US.

The trademark approvals were dated May 7, a week before President Donald Trump extended an olive branch on ZTE in his trade tussle with China.

He demurred, however, when asked about the administration's position on Chinese telecom firm ZTE, saying it was a law enforcement matter upon which he could not comment.

The spokeswoman, Hua Chunying, declined to say whether Tuesday's announcement might disrupt plans for Commerce Secretary Wilbur Ross to visit Beijing for talks starting Saturday.

"For many years, China has pursued industrial policies and unfair trade practices - including dumping, discriminatory non-tariff barriers, forced technology transfer, overcapacity, and industrial subsidies - that champion Chinese firms and make it impossible for many U.S. firms to compete on a level playing field", it said.

But the White House said on Tuesday that a final list of imports slated for tariffs will be published by 15 June.

Trump has bemoaned the massive US trade deficit with China - $337 billion previous year - as evidence that Beijing has been complicit in abusive trading practices.

"China has consistently taken advantage of the American economy with practices that undermine fair and reciprocal trade".

"For too many years, China has pursued trade practices and business policies that make it impossible for foreign companies to compete on a level playing field with Chinese companies".

And doubts remain about whether China will address allegations the Chinese engage in cybertheft of trade secrets, force USA companies to transfer some of their technology in exchange for market access or back away from its China 2025 plan to dominate emerging technologies.

China's Commerce Ministry says it's surprised and sees it as contrary to the recent consensus both sides reached on resolving their trade row.

Threats of a trade war between the United States and China had hit financial markets hard, although now most economists believe the two will manage to avoid a major economic conflict.

In the statement, China also promised to defend its domestic economy in the event that the Trump administration continues the trade attacks.

The plan to allow full foreign ownership in China's auto industry by 2022 will end a requirement for global automakers to operate through joint ventures that obliged them to share technology with potential Chinese competitors.

CGTN's Jessica Stone spoke with Marc Ross on the latest trade actions between United States and China.

Trade talks on China and the North American Free Trade Agreement have hit stumbling blocks, posing a challenge for a president who vowed to make trade deals more equitable for the United States during his 2016 campaign and who famously tweeted that trade wars are "easy to win".

Economists estimate that U.S. exports could rise by up to $90 billion over a period of years.

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