China fighting ‘PEOPLE’S WAR’ against U.S. - state media on tariff hikes

Cheryl Sanders
May 15, 2019

As well as looking to narrow the trade deficit between the two countries, President Donald Trump has repeatedly accused China of stealing trade secrets and forcing foreign companies to hand over technology as a price of entry to the Chinese market.

"My respect and friendship with President Xi is unlimited but, as I have told him many times before, this must be a great deal for the United States or it just doesn't make any sense", Trump said as part of a lengthy tweetstorm.

Doanld Trump recently alleged that China had backed out from the deal.

He said that his respect for President Xi of China was "unlimited", adding that the U.S. was in a "fantastic" position and "when the time is right we will make a deal with China".

Trump also denied talks with China had broken down after Washington punctuated two days of negotiations last week with another round of tariffs on Chinese imports, with Beijing following suit on Monday with higher tariffs on United States goods.

On Monday, he said his administration would provide about US$15 billion (S$20.5 billion) in aid to farmers whose products were targeted by Chinese tariffs.

"The measure taken by the U.S. escalated trade frictions and violated the consensus reached by both sides to tackle trade disputes through consultations", the authorities said in a statement issued by the Customs Tariff Commission of the State Council.

Chinese Foreign Ministry spokesman Geng Shuang also said it was his understanding that China and the United States had agreed to continue "pursuing relevant discussions", cited by Reuters. "But I think we have to be cautious about raising tariffs on both sides, because that'll hurt our economy ultimately".

The Trump administration a year ago offered $12 billion in compensation to American farmers and has vowed to do more, using the revenues from the new tariffs - which he incorrectly claims is paid by China rather than USA importers. "You had a great deal, nearly completed, & you backed out!" he tweeted on Monday. The farmers have been "forgotten" for many years. The trade war with China is "a little squabble".

"Make your product at home in the United States of America and there is no tariff", Trump countered on Tuesday. Since then, the two sides have exchanged several rounds of trade duties, as they have yet to produce a deal.

Other reports by iNewsToday