China has cautioned countries against entering trade agreements with the United States that could harm Chinese interests, as tensions between the two economic powers intensify.
The Chinese Commerce Ministry condemned what it perceives as the U.S.’s misuse of tariffs and pledged to retaliate against any such deals. This response follows reports that Washington is pressuring nations to reduce trade with China in exchange for tariff exemptions.
The ongoing trade conflict has led to significant tariff increases: U.S. tariffs on Chinese goods have surged to 145%, while China has responded with 125% tariffs on American products.
In a bid to strengthen regional ties, President Xi Jinping has visited Southeast Asian countries, promoting solidarity and opposing U.S. trade tactics. Southeast Asian economies, heavily reliant on both China and the U.S., face considerable risks amid the dispute.
China’s Foreign Minister Wang Yi emphasized the importance of China and Indonesia jointly opposing unilateralism and trade protectionism, advocating for enhanced cooperation between the two countries.
Malaysia’s Trade Minister Tengku Zafrul Aziz reaffirmed the country’s commitment to multilateralism, stating that Malaysia will continue to engage with key global partners, including China, the EU, and the U.S.
The escalating trade war has also impacted global markets, with gold reaching a record high of $3,391.62 per ounce, driven by economic concerns stemming from the U.S.-China trade conflict and a weakening U.S. dollar.
As the dispute continues, China’s Commerce Ministry has urged unity against unilateralism and trade coercion, declaring that trade wars yield no victors.
