China slams US probe into ‘unfair practices’ in its shipbuilding industry | Wilnesh News

China said it “firmly opposes” U.S. investigations into its maritime, logistics and shipbuilding industries, calling the move “a mistake upon a mistake.”

in a official statement China’s Ministry of Commerce said late Wednesday that the United States provides hundreds of billions of dollars in “discriminatory” subsidies to its domestic industries “but accuses China of adopting so-called ‘non-market practices'”.

“In fact, the development of China’s industries is the result of enterprises’ technological innovation and active participation in market competition,” China’s Ministry of Commerce said.

On Wednesday, the U.S. Trade Representative’s Office Initiate an investigation into China’s shipping, logistics and shipbuilding industries, accusing Beijing of using “unfair, non-market policies and practices” to dominate these industries. Under the Trade Act of 1974, Section 301 is designed to address unfair foreign government practices that affect U.S. commerce.

China’s Ministry of Commerce said: “The United States is making one mistake after another by launching a new Section 301 investigation.”

Beijing called on the United States to “respect multilateral rules” and vowed to “take all necessary measures to resolutely defend its rights and interests.”

The investigation comes as five national labor unions launched a petition on March 12 calling for a U.S. investigation into policies and practices in China’s maritime, logistics and shipbuilding industries.

U.S. Trade Representative Ambassador Catherine Tai promised a “full and thorough investigation” of the union’s concerns.

“These allegations reflect what we have seen in other industries, which is that (China) uses a variety of non-market policies and practices to undermine fair competition and dominate markets in China and globally,” she said.

President Joe Biden has also called on the Office of the United States Trade Representative to triple tariffs on Chinese steel and aluminum imports to protect American industry.

“China’s policies and subsidies for its domestic steel and aluminum industries mean that high-quality U.S. products are undercut by artificially low-priced, higher-emitting Chinese alternatives,” the White House said in a report. statement.

in a Address to Pittsburgh Union Workers On Wednesday, Biden accused China of “cheating” in its steel trade practices.

“They’re not competing. They’re cheating,” he said, adding, “We’re already seeing this damage in the United States.”

“The bottom line is I want fair competition with China, not conflict.”

Deborah Ames, director of trade policy at the Hinrich Foundation, said the Section 301 investigation may be more important than Biden’s call for additional tariffs on Chinese steel and aluminum imports.

Elms told CNBC’s “Capital Wire” on Thursday that less than 1% of Chinese steel enters the U.S. market.

She said launching a Section 301 investigation into the shipbuilding industry “could become a bigger problem.”

“Now, that may be even more important because it raises the risk of further U.S. retaliation against China, which could then retaliate against the U.S.,” Elms said.

“As we enter a very tense election season, both parties in the United States (Democrats and Republicans) are competing to see who is toughest on China.”