China Daily

Trump’s move on trade raises concerns

- By CHEN WEIHUA in Washington and ZHONG NAN in Beijing

The country always attaches great importance to intellectu­al property rights and constantly tries to perfect legislatio­n in the area.

China voiced “grave concern” over US President Donald Trump’s order for a study of whether an investigat­ion into China’s intellectu­al property policies and practices was warranted.

The executive memorandum Trump signed on Monday instructed US Trade Representa­tive Robert Lighthizer to explore whether to investigat­e any of China’s laws, policies, practices or actions that may be unreasonab­le or discrimina­tory, or may be harming US intellectu­al property and innovation technology.

China’s Ministry of Commerce responded on Tuesday that China will take all necessary and appropriat­e measures to protect its commercial and trade interests if the US government wrongly accuses China over alleged theft of US technology and intellectu­al property.

The United States should cherish the currently sound Sino-US trade relationsh­ip and economic cooperatio­n. Any unilateral acts of trade protection­ism (such as the 301 investigat­ion) from the US are doomed to damage the bilateral economic and trade relations and corporate interests from both sides, according to a statement from the ministry.

Section 301 allows the US president to unilateral­ly impose tariffs or other trade restrictio­ns to protect US industries.

In recent years, China has taken an active stance in opening up to the outside world as well as providing a better environmen­t for foreign investment and business operations in China. China took the initiative to repeatedly revise the Catalogue of Industries for Guiding Foreign Investment, trimming 117 restrictiv­e measures since 2011, the statement said.

The country always attaches great importance to intellectu­al property rights and constantly tries to perfect legislatio­n in the area and strengthen administra­tive and judicial protection­s.

Trump’s move has triggered opposition from the Chinese government and concerns of strained trade relations between the world’s two largest economies.

In Beijing on Monday, Foreign Ministry spokeswoma­n Hua Chunying said that “any

member of the WTO should observe its rules in taking trade measures”, a view shared by the Ministry of Commerce.

Trump’s action came at a sensitive time, coinciding with his tweet last week that if China helps more on restrainin­g the nuclear weapons program from the Democratic People’s Republic of Korea, he might think differentl­y about trade issues. But a senior White House official indicated that the two issues were not related.

“It is obviously improper to use one issue as a tool to exercise pressure on the other,” Hua said at the daily briefing.

The study Trump requested could take up to a year and a 301 investigat­ion would take additional time, said Henry Levine, a senior adviser at the Albright Stonebridg­e Group in Washington and a former US deputy assistant secretary of commerce.

“Therefore, we are very far from any substantiv­e actions that would create serious problems in US-China relations,” he told China Daily.

Some observers interprete­d Trump’s order on Monday as a move to show his supporters that he is finally keeping a campaign promise after other failures.

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