China has rejected a fresh round of U.S. criticism over trade and technology policy, saying Washington’s latest accusations are unfounded and harmful to bilateral ties.
Commerce Ministry spokesman Gao Feng told reporters in Beijing that the U.S. side had made “new groundless accusations” and that China found them “totally unacceptable.” He urged Washington to stop actions that damage economic relations and to take a more constructive approach.
The dispute comes as President Xi Jinping prepares to meet U.S. President Donald Trump at the G20 summit in Argentina later in 2018, with pressure mounting on both sides to ease a trade war that has unsettled global markets.
China’s response was triggered by an update to the U.S. Trade Representative’s Section 301 investigation, which examined China’s intellectual property and technology transfer policies. That probe has already led to U.S. tariffs on $50 billion worth of Chinese goods, later expanded to $250 billion.
Gao said the U.S. findings reflected unilateralism and violated World Trade Organization rules. He also said Beijing was reviewing the impact of a separate U.S. proposal to tighten controls on technology exports in 14 high-tech sectors, including artificial intelligence and microprocessor technology.
According to a document published in the U.S. Federal Register, the proposal opened a 30-day public consultation period ending on Dec. 19. China said it would take necessary steps to protect the legitimate interests of its companies if needed.
Washington has pressed Beijing to improve market access, strengthen intellectual property protections, cut industrial subsidies and reduce a $375 billion trade gap. Trump has already imposed tariffs on $250 billion of Chinese imports, and the U.S. tariff rate on $200 billion in Chinese goods is scheduled to rise to 25 percent from 10 percent on Jan. 1.
Trump has also threatened tariffs on the remaining Chinese imports, worth about $267 billion, if Beijing does not meet U.S. demands.