OCU professor: In trade dispute, U.S. is on solid ground

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The Trump administration on Monday also said it's filing a challenge at the WTO against China, the European Union, Canada, Mexico and Turkey for tariffs they imposed against the U.S.in retaliation to earlier USA tariffs on steel and aluminum.

The EU Council President, Donald Tusk, appealed to China Monday in Beijing, and also to the United States and Russian Federation, to "avoid chaos, " just as Donald Trump's America has entered into a power struggle with his major trading partners.

China has accused the United States of hurting the global economy by waging trade wars.

Mr Tusk urged the US, China and Russian Federation to work with the European Union to ease global trade tensions, saying that the worldwide order needed responsible reform.

"Price hikes caused by the increased tariffs would adversely affect these industries".

Financial markets have tumbled amid investor anxieties, while some foreign firms with manufacturing plants in China have plans to pull out of the Chinese market, concerned that their bottom lines could be affected by US tariffs.


"Speaking with facts and figures, the paper clearly shows that China has fully fulfilled its commitments in terms of tax reductions on goods, opening of trade in services, and non-tariff measures including import quotas", she said.

But the story won't end there.

She said the US move not only targeted China, but also regarded the whole world as an enemy, which will drag the global economy into danger, adding that the trade disputes will inhibit the growth momentum of global trade, impact the confidence of all parties in world economy, and endanger the well-being of all people. That has got China back threatening more tariffs on the US.

China's economy grew at a slower pace in the second quarter, data on Monday showed, with Beijing's trade dispute with Washington challenging the growth outlook for the world's second-biggest economy.

The country's previous complaint came after the United States slapped levies on Chinese goods worth US$34 billion. If the winning party does not import same-sector goods, then you see if there are other goods covered by the WTO tariff schedule for that generic type of goods available for retaliatory tariffs.

The spokesman went on to say China will stand up to anyone who is willing to damage the free trade system.


"Instead of working with us to address a common problem, some of our trading partners have elected to respond with retaliatory tariffs created to punish American workers, farmers and companies", US Trade Representative Robert Lighthizer said in a statement.

For China, the shopping list for domestic consumption is focused on premium shellfish, meaning a shift to producers such as Canada, Russia, Australia, and New Zealand is likely, Beyhan de Jong, an associate analyst at the bank, wrote in a recent article.

A public hearing on the latest proposal, to be held at the Washington, D.C. offices of the US International Trade Commission, is scheduled for August 20.

Chinese foreign direct investment into the United States actually fell during the first five months of 2018, according to Rhodium data.

Members are barred from discriminating against each other in their trade practices, meaning China's exports were shielded from protectionist moves by other countries. But the larger question is why are the national governments in the era of globalization resorting to protectionism?


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