Tag: Self-defense

America has announced successive protectionist tariffs pursuant to its domestic laws, forcing China to take counter-measures. The so-called “investigations” under legislation, such as section 301 of the US Trade Act of 1974, risk igniting a trade war between the world’s two biggest economies. There would be no winner in a trade war. If the Trump administration, by announcing unilateral protectionist measures, believes there could be, it must be suffering the damaging after-effects of the years in which it had a hegemonic mindset. The US's actions are tantamount to returning the international trade order to the law of the jungle For the most recent “safeguard” tariffs – on steel by the Bush administration and on tyres from China by the Obama administration – all backfired. These rules have contributed hugely to global trade and economic growth. China has set the goal of importing $24tn of goods in the next 15 years. It is China’s consistent position to address trade disputes through negotiations and consultations. The US should bear in mind the long-term and fundamental interests of both countries, as well as the need for a solid international trade order and sound world economy. There is a dark cloud: but as long as the international community joins hands to safeguard the rules of international trade and to firmly oppose protectionism, I believe it can be dispelled.