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Navigating Sino-US trade ties through constructive dialogue

China Daily | Updated: 2025-06-09 00:00
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Will China-US trade relations develop in a healthy manner? They could if Washington moves beyond punitive tariff policy and chooses to engage in constructive dialogue.

The telephone call President Xi Jinping took from US President Donald Trump on Thursday last week offers momentum for renewed dialogue between the world's two largest economies, paving the way for their trade relations to return to the normal track.

Vice-Premier He Lifeng visits the United Kingdom from Sunday to Friday, and will hold the first meeting of the China-US economic and trade consultation mechanism with the US side during the visit. Since it is the US that initially imposed unilateral tariffs on imports from China that have damaged trade relations with China, the onus is unquestionably on the US to demonstrate that it is sincerely seeking a fair and equitable deal.

The two sides reached a consensus in their talks held in Geneva last month to lift restrictions on certain imports from both countries. But even after that, the US has increased tech restrictions on exports to China, and the US secretary of state explicitly said that the US will aggressively revoke the visas of Chinese students. Washington has even accused China of violating the consensus both sides reached in Geneva.

All these point to the zero-sum mentality of the US. But pressure and coercion are not going to work against China, which is ready to resolutely counter any ill-intentioned move by the US side.

The strategy of the US administration to serve its unilateral interest only harms the US, damages Sino-US relations and vandalizes global trade. It is the US companies and consumers that bear the brunt of the tariff policy first. Freight transportation rates have rocketed because of the tariffs. It used to be standard practice for major US retailers to pay the full cost of shipping goods from China to the US. But now they are demanding that their Chinese suppliers split or even bear the full costs of shipping goods across the Pacific. It is unreasonable for these US major retailers to do so, because it is the US' ill-advised tariff policy that has pushed up their cost.

China advocates for the healthy development of trade relations with all countries. It attaches importance to trade relations with the US, and believes that the healthy development of trade relations are in the best interest of both countries and both peoples.

In light of this, China has approved a certain number of export license applications for rare earth-related items, considering rising global demand for medium and heavy rare earth elements driven by industries such as robotics and new energy vehicles, a spokesperson for the Ministry of Commerce said on Saturday.

China's controls on the exports of rare earth-related items are to safeguard national security and fulfill its international nonproliferation obligations. They are consistent with universal practices, nondiscriminatory and not targeted at any particular country. China will continue to strengthen the review of compliant applications and is ready to enhance communication and dialogue on export controls with relevant countries to facilitate compliant trade, the spokesperson said.

In his telephone talk with US President Trump, President Xi pointed out that recalibrating the direction of the giant ship of China-US relations requires both to take the helm and set the right course, to steer clear of various disturbances and disruptions. He said that the meeting in Geneva proved that dialogue and cooperation are the right choice to resolve the relevant issues between the two countries.

The US should have the awareness that holding more talks over their trade relations is the only way they can resolve their differences. The two sides need to make good use of the economic and trade consultation mechanism already in place, and seek win-win results in the spirit of equality and respect for each other's concerns — a spirit that can foster a truly productive and lasting trade relationship.

 

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