Washington’s policy will go down “as a joke in the history of world economics,” according to Beijing
China has likened the United States’ tariff policy to a ‘numbers game’ with no practical meaning after the administration of US President Donald Trump imposed multiple rounds of duties on Chinese imports over the past few weeks.
In a statement on Friday, the Chinese government accused Washington of using tariffs as a weapon for bullying and coercion, while hitting back with its own reciprocal trade duties.
”Even if the US continues to impose even higher tariffs, it would no longer have any economic significance and would go down as a joke in the history of world economics,” a spokesman for the Ministry of Commerce said, as cited by Reuters.
The US has imposed four major tariff hikes on China in just over two months, with the latest escalation on Wednesday bringing the duties from an initial average of 20% to a cumulative rate of 145%.
China has retaliated, announcing its latest reciprocal hike to 125% on all American imports on Friday.
The Ministry of Commerce said Beijing would not retaliate any further, indicating that it may turn to other ways of responding and vowing to “fight to the end.”
Trump argues that the increased duties are needed to address trade imbalances and stop China from “ripping off the USA.” Earlier this week, he opined that the “proud” Chinese would have to “make a deal at some point.”
China has also filed a lawsuit with the World Trade Organization challenging the latest US tariff hike, asserting that Washington’s actions have significantly disrupted the global economy.
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Global tariff war: Key developments
The trade dispute between the world’s two largest economies has caused extreme volatility in global stock markets, sent oil prices to four-year lows, and caused concerns regarding global supply chains.
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