China says it is ready to ‘fight to the end’ in trade war with US
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Chinese shipments to the US – the world’s largest consumer market – picked up to reach US$34.3 billion (S$44.5 billion) in September.
PHOTO: AFP
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BEIJING – China said on Oct 14 it was ready to “fight to the end” in a trade war with the US after President Donald Trump said he would impose an additional 100 per cent tariff on the world’s second-largest economy.
The move, revealed in an Oct 10 social media post, was in response to Beijing’s announcement last week of sweeping new export controls in the strategic field of rare earths
Mr Trump also announced in the post that Washington would impose export controls “on any and all critical software” from Nov 1.
The latest escalation has rattled markets and called into question a potential upcoming meeting with Chinese President Xi Jinping in South Korea.
“On the matter of tariff wars and trade wars, China’s position remains consistent. If you wish to fight, we shall fight to the end; if you wish to negotiate, our door remains open,” an unnamed Chinese Commerce Ministry spokesperson said in a statement on Oct 14.
“The United States cannot simultaneously seek dialogue while threatening to impose new restrictive measures. This is not the proper way to engage with China,” the statement added.
Mr Trump appeared to walk back his more menacing rhetoric in an Oct 12 social media post that said “it will all be fine”, adding that the US wants to “help” China.
On Oct 13, as the outlook for trade with the US darkened, newly released official data for September showed that China’s overseas shipments have remained resilient.
Exports jumped 8.3 per cent year on year in September, the fastest expansion since March and much faster than forecast.
Shipments to the US – the world’s largest consumer market – picked up to reach US$34.3 billion (S$44.5 billion), the data showed.
Chinese goods currently face US tariffs of at least 30 per cent
China’s retaliatory tariffs are currently at 10 per cent.
The global impact of Mr Trump’s tariff onslaught is in the spotlight this week as a semi-annual gathering of the International Monetary Fund and the World Bank takes place in Washington.
The White House continues to insist that the long-term effect of tariffs will be positive for the US, pointing to their relatively muted economic impact so far. AFP
