Source: Ministry of Commerce
As agreed by both China and the United States, Member of the Political Bureau of the Central Committee of the Communist Party of China and Vice Premier of the State Council He Lifeng will lead a delegation to France from March 14 to 17 to hold economic and trade consultations with the US side. Guided by the significant consensuses reached during the summit meeting between the leaders of both countries in Busan and their previous communications, the two sides will conduct consultations on economic and trade issues of mutual concern. Regarding the US claim of so-called 'overcapacity,' China stated that the US has no authority to unilaterally determine whether its trading partners have 'overcapacity' through a Section 301 investigation or to impose unilateral restrictive measures.
A journalist asked: We have noticed that China previously announced that the sixth round of China-US economic and trade consultations would be held in the near future. Does the Ministry of Commerce have any updates?
Reply: After mutual agreement between China and the United States, He Lifeng, member of the Political Bureau of the CPC Central Committee and Vice Premier of the State Council, will lead a delegation to France from March 14 to 17 for trade and economic consultations with the United States. The two sides will be guided by the important consensus reached during the leaders’ meeting in Busan and previous phone calls, and will conduct consultations on trade and economic issues of mutual concern.
A journalist asked: On March 11, US time, the Office of the United States Trade Representative announced the initiation of a Section 301 investigation against 16 economies, including China, citing 'overcapacity' as the reason. What is China's comment on this?
Response: China has taken note that the U.S. has initiated a Section 301 investigation against 16 economies, including China, citing 'excess capacity.' The Section 301 investigation is a typical act of unilateralism and severely disrupts the international economic and trade order. The WTO Panel has already ruled that tariff measures taken under Section 301 investigations violate WTO rules.
Regarding the so-called 'excess capacity theory' put forward by the U.S., China has repeatedly clarified its position. The global economy has long become an indivisible whole, with production and consumption being global in nature, requiring supply and demand matching and adjustments from a global perspective. If production in each country could only meet domestic market demand, there would be no cross-border trade. The U.S. cannot narrowly define production capacity exceeding domestic demand as 'excess capacity' and label it as 'surplus.' Moreover, the U.S. has no authority to unilaterally determine whether its trading partners have 'excess capacity' through a Section 301 investigation and impose unilateral restrictive measures. China has also noted that the U.S. has initiated another Section 301 investigation against 60 economies, including China, citing 'failure to prohibit imports of products made with forced labor.' China is currently conducting analysis and evaluation.
China urges the U.S. to correct its erroneous practices and return to the proper path of resolving issues through dialogue and consultation. China will closely monitor developments and reserve the right to take all necessary measures to firmly safeguard its legitimate rights and interests.
Editor/Rocky