China has expressed serious concerns over the United States’ tariffs targeting its semiconductor industry and broader technology sector, claiming that such measures violate the principles of fair competition and harm global trade stability. Chinese Minister of Commerce Wang Wentao raised these concerns during talks with US Commerce Secretary Gina Raimondo in Beijing on Monday, emphasizing that ongoing US restrictions continue to hamper trade ties.
The Chinese Ministry of Commerce released a press release stating that Wang expressed significant concerns about several issues, including the US Section 301 tariffs on Chinese goods, semiconductor policies, restrictions on two-way investment, discriminatory subsidies, and sanctions on Chinese enterprises. Wang argued that the US has been abusing the concept of national security to justify these new tariffs and sanctions, asserting that unilateral and protectionist measures contradict market rules and fair competition principles, and ultimately harm the security and stability of global industrial and supply chains. Wang called on the United States to match its words with actions and refrain from seeking decoupling with China, as US officials have repeatedly claimed.
Under President Donald Trump, US tariffs on Chinese goods significantly increased, marking the beginning of a tit-for-tat trade war in 2018. President Joe Biden has continued this hostile approach, adopting various policies aimed at the Chinese economy.
The White House introduced new export controls last year, aimed at preventing Chinese firms from purchasing semiconductors produced using US equipment worldwide. In addition, the US Treasury later added numerous Chinese tech companies to a trade blacklist. Recent reports suggest that US officials are contemplating additional restrictions on artificial intelligence-related technology, with the aim of cutting Beijing off from this rapidly growing sector.
US officials have consistently labeled China as America’s top competitor, accusing Chinese firms of engaging in nefarious activities such as theft of US intellectual property and espionage on American citizens. Beijing has firmly denied these allegations, asserting that Washington is targeting Chinese businesses for its own economic gain, using national security as a pretext.
China’s commerce chief Wang’s concerns reflect the escalating tensions between the US and China in the technology and semiconductor sectors. As the world’s two largest economies compete for dominance in these critical industries, the impact of their trade disputes is not limited to their respective borders. Economic penalties and restrictions imposed by the US have a ripple effect on the global supply chain, disrupting the flow of goods and services. These disruptions can have severe consequences for businesses, consumers, and the overall stability of the global economy.
Efforts to address these issues through dialogue and negotiation are crucial to finding mutually beneficial solutions and maintaining healthy trade relationships. Both China and the US need to recognize the value of fair competition and the importance of abiding by international trade rules in order to foster a more stable and prosperous global trading system.
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