Beijing Warns Against US Trade Deals Excluding China
State media threatens retaliation against nations that cut China from supply chains, as Trump's increased tariffs loom
China has issued a stern warning against countries that might seek trade agreements with the United States by deliberately excluding Chinese involvement in their supply chains.
The admonition comes as the Trump administration prepares to implement significantly higher tariffs on various trading partners next month.
According to Reuters, President Donald Trump began notifying countries on Monday (7th July) that they would face increased US tariffs from 1st August.
This follows an initial 10% tariff imposed since April, while Washington sought to finalise trade deals.
China, which had already been subject to tariffs exceeding 100% on some goods, has until 12th August to reach an agreement with the White House.
The official Communist Party newspaper, People's Daily, published a commentary titled "Voice from China," a column typically used to convey foreign policy views.
Addressing the escalating trade tensions between Beijing and Washington, the article asserted: "One extremely clear conclusion is that negotiation and cooperation are the only correct path."
The commentary reiterated Beijing's long-standing position that Trump's tariffs constitute "bullying" and added: "Past experience has proven that adhering to principles is the only way to truly protect our rights and interests."
Reuters suggests that these remarks could signal another round of tariff hostilities if Trump adheres to what the People's Daily termed the "final deadline."
Data from the Peterson Institute for International Economics indicates that the average US import tariff on Chinese goods currently stands at 51.1%, while China imposes an average of 32.6% on US imports, with both economic giants collecting duties on each other's trade.
Significantly, the People's Daily article also made a direct reference to various Asian economies contemplating trade deals with the US that would involve cutting China out of their supply chains.
This comes a week after Vietnam secured a deal to reduce its tariff from 46% to 20%, though "transshipment" goods, largely originating from China, face a 40% duty.
