BEIJING/WASHINGTON (Reuters) - China decried a U.S. decision to impose added duty on Chinese-made tires, saying the move sent a dangerous protectionist signal before a G20 summit and could stoke reactions impeding global recovery.But the White House played down the dispute, saying it was simply "enforcing the rules of the road" and did not expect the matter to escalate into a trade war.
"We're simply enforcing those rules and we expect the Chinese to understand those rules," White House spokesman Robert Gibbs told reporters on Saturday.U.S. President Barack Obama slapped the additional duties on tire imports from China on Friday, in what Gibbs said on Friday was meant "to remedy the clear disruption to the U.S. tire industry" from cheap Chinese imports.
China's minister of commerce, Chen Deming, indicated he took this latest trade dispute with Washington especially seriously."This is a grave act of trade protectionism," Chen said in a statement put on his ministry's website (www.mofcom.gov.cn) on Saturday.
"Not only does it violate WTO rules, it contravenes commitments the United States government made at the G20 financial summit, and is an abuse of special safeguard provisions that sends the wrong signal to the world."
Its a dangerous game a trade war, I suspect we can get away with this tarrif, but any further will put us in risky territory.
I don't think the US are in favor in protectionism. The fact that they practice tariffs on certain imported goods, is normal and can be seen in many other countries, in order to protect national businesses.
ReplyDeleteIf you ask me, protectionism does more harm than good. The competition, as the trade itself, should be free. After all, even China, the 3rd economical power has become what it is only through imports and exports. That's how the market place here developed so much.
ReplyDeleteIf you ask me, the US are starting to feel threatened by the biggest producer of wholesale goods, China, and its economic potential.
ReplyDeleteUS tariffs and other protectionist measures miss their point I think. After all, big business in the US recognize China as an important source of imports, of goods and services coming from Chinese manufacturers and suppliers.
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