China-US Trade Tensions: Beijing: Will act to protect global businesses in China

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02:44

The Chinese Commerce Ministry says it's evaluating the impact of the latest tariffs imposed by Washington and will develop new strategies to help global companies better operate in China. CGTN's Wang Mengzhen has the story.

Ten-percent tariffs on another 200 billion US dollars worth of Chinese products and that's said to eventually rise to 25 percent by the year-end.

Starting from this week, the Trump administration initiated the latest round of the trade impasse between the world's two largest economies.

Products affected by the new US tariffs include those in the electromechanical, textile and solar energy sectors.

GAO FENG, SPOKESMAN CHINESE COMMERCE MINISTRY "Overseas-funded enterprises are likely to account for nearly half of those affected this time. That's based on our initial assessment. This means the unilateral trade protectionism launched by the US has not only harmed companies and consumers of both countries, but also threatened the safety of global industry and supply chains."

The Chinese government says it will soon release measures to help enterprises facilitate their businesses in China, including more convenient customs clearance.

But one thing is for sure, as the government reiterated, the Chinese RMB won't be used as a tool to boost exports.

GAO FENG, SPOKESMAN CHINESE COMMERCE MINISTRY "China always insists on the market-oriented reforms on RMB's exchange rate. We adhere to the spirit of G20 leaders' declarations and will not conduct the competitive devaluation of the RMB. In the future, we will stick to the market-based reforms to increase the Chinese currency's flexibility."

China in response decided to take counter-measures on Tuesday by imposing duties of five and 10 percent on 60 billion US dollars' worth of US goods. This was a lower rate than the original plan for 20 or 25 percent tariffs.

US farm products, liquefied natural gas and chemicals are on the list.

Gao stressed that China was totally to act and the list has nothing to do with American politics.

GAO FENG, SPOKESMAN CHINESE COMMERCE MINISTRY "The latest round of tariffs imposed by the US has indeed added uncertainties to China-US trade negotiations. We hope the US side could show its goodwill and sincerity, and take convincing measures for timely correction."

WANG MENGZHEN BEIJING "Six months since the Trump Administration first announced tariffs on steel and aluminum. But experts say trade tensions won't stop China from continuing its reform and opening-up to the rest of the world. WMZ, CGTN, BEIJING."