Beijing raises the alarm: No trade agreements with the USA!

Beijing raises the alarm: No trade agreements with the USA!

Vienna, Österreich - On April 21, 2025, the Chinese government urgently warns other countries of trade agreements with the United States, which are concluded at the expense of China. A spokesman for the Ministry of Commerce in Beijing said that China rejects such agreements and that countermeasures will take countermeasures if necessary. Beijing emphasizes that "appeasement" will not bring peace and explains that compromises are not respected.

The tensions between China and the USA are not new. Customs President Trump imposed on imports from other countries, especially Chinese goods, have already led to considerable trade shifts. Currently, the US tariffs on Chinese imports are astonishing 145%, with a gradual reduction to 20% for important electronic devices. These high tariffs have heavily burdened China's economy, which also troubles the furniture manufacturer Cai Meiqin in southern China. It has to store products for the US market due to the high tariffs and regularly checks the fellows.

The effects of the trade conflict

US customs policy has far-reaching effects on the Chinese economy. On state-controlled social media platforms, slogans are spread against US customs policy, while the international trade fair in Guangzhou shows a mixed mood among Chinese trading partners. XI Jinping, China's state leader, emphasizes the need for solidarity and cooperation in the global economy, while at the same time humorous reactions to social media illustrate the challenges with which US consumers are confronted.

In the context of these challenges, the economic situation of China is interesting. Despite the tariffs, China's economy grew by around 5.5 percent in the last two quarters. In this sense, XI Jinping is looking for new alliances in countries such as Vietnam, Malaysia and Cambodia to cushion the pressure through the US tariffs. Chinese propaganda also tries to present the country as a stable superpower that relies on cooperation.

trade agreements and bilateral relationships

The clashes between the USA and China, which began in March 2018 with a mutual customs war, were somewhat defused by the “Phase One Trade Agreement” on January 15, 2020. China undertook to buy US products worth $ 200 billion in two years, while the United States insured to suspend customs increases on consumer products worth $ 160 billion. Nevertheless, there were considerable tariffs on imports worth $ 250 billion.

Skepticism with regard to the fulfillment of the agreement remains high, especially from the point of view of the limited US production capacities. Many critics argue that this policy contradicts the principles of the world trade organization (WTO) because it can be seen as "managed trade", which could have a long -term negative effects on growth and employment in the United States. At the same time, the US agriculture is faced with a decline in exports to China despite the purchase obligations due to the trade conflicts.

The trade conflict has also brought mixed effects for third countries, since there are only limited opportunities to take on the role of China as a trading partner. In summary, the current situation illustrates how complex and complex the bilateral relationships between the USA and China are, while Beijing continues to warn that trade agreements that disadvantage China will result in negative consequences.

For further information please visit: vienna.at , zdf.de , and Wirtschaftsdienst.eu .