China should not get deterred by the protectionism policy of the US which it calls the self-defeating and a “symptom of paranoid delusions”, said Chinese media said on Friday. This even as the war of rhetoric between Beijing and Washington continued and the markets getting hit.
This followed a recent threat by US President Donald Trump to slap a 10 per cent tariff on $200 billion of new Chinese imports if there is retaliation by China on his earlier announced tariffs on $50 billion Chinese imported products.
While warning that the U.S. workers and farmers would eventually suffer the consequences of US trade policies, China’s commerce ministry on Thursday accused the US of being “capricious” on trade issues. It also assured that it would continue its tit for tat tariff strategy on American goods.
An editorial in the official newspaper China Daily said that the trade that the US does with China is supportive of jobs of millions of Americans which the US administration is failing to understand and hence the policy approach that the country has taken is self-defeating.
Hitting the lowest in the last seven years, Chinese investment in the US fell by a whopping 92 per cent over the first five months of the current year to $1.8 billion, claimed a research work by the Rhodium Group as cited by the English-language newspaper.
“The woes the administration is inflicting on Chinese companies do not simply translate into boons for U.S. enterprises and the U.S. economy,” it said in an editorial headlined “Protectionism symptom of paranoid delusions”.
“The fast-shrinking Chinese investment in the U.S. reflects the damage being done to China-U.S.-trade relations ... by the trade crusade of Trump and his trade hawks,” it said.
The technologies and intellectual property of the world and not just the United States were being threatened by Chinese trade policies, alleged a report published by the U.S. administration on Tuesday. The report called the policies as being aggressive.
The White House report further drew criticism from Beijing even though it did not anything that the US has not said before such as Chinese activities amounts to theft of technologies and intellectual property (IP).
Global markets are weary of the developments in global trade. There was drop in for the eighth consecutive session on Thursday in the 30-stock Dow Jones Industrial Average which included a slump in the stocks of companies like Caterpillar Inc and Boeing Co.
There was a fall in the shares of Shares of Apple Inc which has iPhone assembling unit in China.
At the same time, there was a drop of 4.4 percent in Shanghai throughout the week while there was a 3.8 per cent drop in China’s blue-chip CSI300 index.
There was a drop of 3.2 per cent in Hong Kong’s Hang Seng index.
China needs to identify new strategies to handle the US, said an editorial published in The Global Times which is a tabloid published by the ruling Communist Party’s official People’s Daily.
“The U.S. has the upper hand over China in technology, defense and international influence, and therefore the country will continue to have a strategic initiative over Beijing for the foreseeable future,” it said.
“As long as China remains clear-minded in strategy, level-headed in its U.S. policy, and avoids a full-fledged geopolitical competition or a strategic clash against the U.S., China will be able to withstand U.S. pressure. In other words, China should focus on its domestic affairs.”
“As long as China can effectively utilize its successful policies and experiences accumulated since the reform and opening up, and avoid subversive mistakes, the country will see robust momentum for development,” the Global Times said.
(Source:www.reuters.com)
This followed a recent threat by US President Donald Trump to slap a 10 per cent tariff on $200 billion of new Chinese imports if there is retaliation by China on his earlier announced tariffs on $50 billion Chinese imported products.
While warning that the U.S. workers and farmers would eventually suffer the consequences of US trade policies, China’s commerce ministry on Thursday accused the US of being “capricious” on trade issues. It also assured that it would continue its tit for tat tariff strategy on American goods.
An editorial in the official newspaper China Daily said that the trade that the US does with China is supportive of jobs of millions of Americans which the US administration is failing to understand and hence the policy approach that the country has taken is self-defeating.
Hitting the lowest in the last seven years, Chinese investment in the US fell by a whopping 92 per cent over the first five months of the current year to $1.8 billion, claimed a research work by the Rhodium Group as cited by the English-language newspaper.
“The woes the administration is inflicting on Chinese companies do not simply translate into boons for U.S. enterprises and the U.S. economy,” it said in an editorial headlined “Protectionism symptom of paranoid delusions”.
“The fast-shrinking Chinese investment in the U.S. reflects the damage being done to China-U.S.-trade relations ... by the trade crusade of Trump and his trade hawks,” it said.
The technologies and intellectual property of the world and not just the United States were being threatened by Chinese trade policies, alleged a report published by the U.S. administration on Tuesday. The report called the policies as being aggressive.
The White House report further drew criticism from Beijing even though it did not anything that the US has not said before such as Chinese activities amounts to theft of technologies and intellectual property (IP).
Global markets are weary of the developments in global trade. There was drop in for the eighth consecutive session on Thursday in the 30-stock Dow Jones Industrial Average which included a slump in the stocks of companies like Caterpillar Inc and Boeing Co.
There was a fall in the shares of Shares of Apple Inc which has iPhone assembling unit in China.
At the same time, there was a drop of 4.4 percent in Shanghai throughout the week while there was a 3.8 per cent drop in China’s blue-chip CSI300 index.
There was a drop of 3.2 per cent in Hong Kong’s Hang Seng index.
China needs to identify new strategies to handle the US, said an editorial published in The Global Times which is a tabloid published by the ruling Communist Party’s official People’s Daily.
“The U.S. has the upper hand over China in technology, defense and international influence, and therefore the country will continue to have a strategic initiative over Beijing for the foreseeable future,” it said.
“As long as China remains clear-minded in strategy, level-headed in its U.S. policy, and avoids a full-fledged geopolitical competition or a strategic clash against the U.S., China will be able to withstand U.S. pressure. In other words, China should focus on its domestic affairs.”
“As long as China can effectively utilize its successful policies and experiences accumulated since the reform and opening up, and avoid subversive mistakes, the country will see robust momentum for development,” the Global Times said.
(Source:www.reuters.com)
