No talks with

said, adding that American firms sold $700 billion worth of goods in China each year, earning more than $500 billion in profit.

Support for exporters

The trade fight between the top two economic giants has steadily escalated through the summer, as the US levied two waves of new tariffs that have now hit about $250 billion worth of goods, roughly half of China’s exports to the United States.

Beijing has struck back with each step, hitting $110 billion worth of US goods, or nearly everything China buys from the United States.

Experts have warned the snowballing trade spat will harm both economies and even global growth, with Fitch Ratings cutting its growth estimates for China and the world for 2019.

China’s exports to the US accounted for 19 percent of all its overseas shipments last year, according to the white paper published by China’s cabinet, the State Council, on Monday.

Officials in Beijing said they planned to step up support for harmed industries and companies as they seek to offset the trade war’s effects.

“We will actively take all types of measures to help companies resolve their difficulties,” said Luo Wen, vice minister of industry and information technology.

China will “earnestly reduce taxes and burdens for companies and strive to optimise the business environment”, he added.

Some European and American firms have already started shifting supply chains out of China, or put new investments on hold, according to industry group surveys, a potential problem for Beijing as economic growth sags.

Foreign firms said the latest round of US tariffs, hitting a wide swathe of products including electronics and furniture, would worsen their problems, according to the surveys.

Luo called the trade-related risks driving firms out of China a natural phenomenon and said Beijing would look at the situation rationally.

“We believe the vast majority of companies will remain in China and deepen their development,” he said.

AFP