China warns of trade war triggered by Trump's tariff threat
(VOVWORLD) - The Chinese Embassy in Washington on Monday said that neither China nor the US would benefit from a trade war.
 A drone photo shows a view of Qingdao Port in Shandong Province, China. (Photo: Xinhua/VNA) |
The statement is seen as a response to US President-elect Donald Trump's renewed threat to impose an additional 10% tariff on all Chinese imports as soon as he takes office in January next year.
The Embassy’s statement insisted that China-US economic and trade cooperation is mutually beneficial in nature.
The statement also highlighted China’s efforts to combat drug trafficking after an agreement was reached last year between Chinese President Xi Jinping and President Joe Biden.
Trump also announced a broader tariff strategy, targeting Mexico and Canada with a proposed 25% tariff on all products from those countries, citing concerns over illegal immigration and drug trafficking.
Trump's announcement fueled a sell-off across Asian markets, while London, Paris and Frankfurt opened on the back foot.
The dollar surged around 1% against its Canadian equivalent and Mexico's peso as well as the Chinese yuan.
The threat of increased trade tensions has raised concerns about economic instability, especially in export-dependent economies such as Japan and China.