China appeals for co-operation as it warns of ‘trade war’
A top Chinese official warned Sunday that a “trade war’’ would harm all sides but gave no indication of Beijing’s possible next move in a spiraling dispute with President Donald Trump over steel and technology.
Speaking to global business leaders at a development forum, Vice Premier Han Zheng appealed for co-operation to make economic globalization “beneficial for all.’’
“A trade war serves the interests of none,’’ Han said at the China Development Forum. “It will only lead to serious consequences and negative impact.’’
Han didn’t mention Trump by name or refer directly to the dispute with Washington, but the country’s newly appointed economy czar warned Saturday that Beijing will defend its interests. The government issued a $3 billion list on Friday of U.S. goods including pork and stainless steel pipes it said might be hit by higher tariffs.
The Commerce Ministry said those charges were linked to Trump’s approval earlier of higher tariffs on steel and aluminum imports. But a bigger battle is brewing over Trump’s approval Thursday of a possible tariff hike on $30 billion of Chinese goods in response to what Washington says is Beijing’s improper acquisition of foreign technology.
Global financial markets have sunk on fears Chinese retaliation might prompt other governments to raise import barriers, depressing global trade.
Han appealed to other governments to “co-operate with each other like passengers in the same boat’’ and “make economic globalization more open, inclusive, balanced and beneficial for all.’’
However, he also emphasized that China’s income per person still is low, suggesting Beijing is unlikely to offer significant concessions to Washington.
Han repeated promises that China’s planned marketopening would create new opportunities for foreign companies. Business groups have welcomed reform pledges but complain Beijing is moving too slowly, making it unclear whether additional promises will mollify Washington, the European Union and other trading partners.