US, Japan & EU announce joint approach over tariffs

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Europe

02:39

“[Japan, the US and the EU’s] disputes are internal problems. All the tariff disputes and company’s disputes are family problems. They can solve them with their own principles,” Liu Zhiqin, a senior fellow at the Chongyang Institute for Financial Studies at Renmin University of China commented.

America’s trading partners, including the EU and Japan, recently expressed concerns and objections against possible US tariffs at the World Trade Organization (WTO). However, meanwhile, the three countries announced joint measures against allegedly unfair competitive conditions in May.

Many wondered if their teaming up will collapse because of the division over the tariffs. But Liu disagreed.

“They belong to one family, but we are not member of their family. We must be aware of this fact,” Liu noted.

Liu added that when it comes to third parties, including China and other emerging market, the US, Japan and the EU will always work together.

VCG Photo

In May, the top trade ministers of the three countries said that unfair competitive conditions are caused by market-distorting subsidies, state-owned enterprises, and forced technology transfers by third countries.

The EU launched a WTO case against China in June, claiming forced technology transfers contradict global trade rules designed to protect intellectual property rights.

Besides, the three partners also said that industrial subsidies should be clarified and improved to ensure that certain emerging developing members do not escape its application.

But Liu pointed out that emerging market should not be blamed on the issue.