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Ministry: US tariffs will harm both sides

By Ren Xiaojin and Jing Shuiyu | chinadaily.com.cn | Updated: 2018-09-20 16:16
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The US tariffs targeting $200 billion worth of Chinese goods will not only hurt consumers and companies from both sides, but also jeopardize the global value chain, according to the Ministry of Commerce on Thursday.

The US should "show sincerity" in bilateral trade talks and take convincing steps to correct its protectionist behavior, Gao Feng, spokesman for the commerce ministry, said at a news conference.

China is currently busy evaluating the potential impact of the fresh round of US tariffs on goods that originate in China, in fields such as machinery, textile, chemical and agricultural products, Gao said.

"Among the potentially affected enterprises, foreign-funded enterprises will account for nearly 50 percent," Gao said, stressing that the US tariff hikes will lead to a lose-lose situation.

On Tuesday, the Customs Tariff Commission of the State Council announced it will place tariffs on about $60 billion worth of imports from the US in response to Washington's announcement of additional levies on $200 billion worth of Chinese goods.

Gao said China was "forced" to take countermeasures in order to protect the country’s legitimate interests and to maintain a free trade order.

The country will not stimulate exports through depreciating the renminbi, as depreciation does more harm than good, he stressed. In the future, China will deepen the reform of exchange rate marketization and keep the currency at a reasonable and balanced level, he added.

 

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