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China retaliated against new U.S. tariffs Wednesday, hours after Washington imposed a 104 per cent levy on Chinese goods, as a trade war between the world’s two largest economies threatened to spin out of control.
In a statement, the Chinese Finance Ministry said a new 84 per cent tariff would apply to all US imports from April 10, up from a previously announced 34 per cent levy.
Speaking at a government forum in Beijing, Chinese President Xi Jinping called for greater regional co-operation and emphasized China’s diplomatic and trade ties with its neighbours, as state media unleashed a barrage of criticism against the U.S.
“Our country’s relations with its neighbours are currently at their best since modern times,” Mr. Xi said, calling for the “strengthening of industrial and supply chain co-operation.”
While he did not directly reference the U.S., Mr. Xi’s remarks – reported by state media hours after Mr. Trump’s tariffs, including a
new 104-per-cent levy on Chinese exports, went into force – come as Beijing is positioning itself as a rational, pro-globalization alternative to an increasingly unpredictable Washington.
State funds prop up markets and state media vows Beijing will not back down in trade war with U.S.
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In an editorial Wednesday, the official Xinhua News Agency said President
Donald Trump’s latest escalation “reeks of desperation.”
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“If Washington believes that ramping up pressure can compel Beijing to give in, it is engaging in wishful thinking,” the editorial said. “The United States is far from immune to the economic wounds of the trade war it has ignited. American markets are already feeling the strain, businesses face growing uncertainties, and the risk of recession is ballooning.”