Following common taxes imposed by the United States, China’s main trading partner, Li Qiang, the country’s second-highest head, stated on Tuesday that the state has the necessary equipment to deal with financial problems.
Premier Li Qiang called European Commission President Ursula von der Leyen to ask him about China’s economic policy this year, which “takes full account of various difficulties and has a sufficient supply of plan tools.” China is comfortable in maintaining a healthy and sustained economic development and is fully prepared to protect against negative physical effects.
Following the disruption caused by US taxes, both sides discussed ways to bring” stability and predictability” to the world economy during a telephone call on Tuesday.
According to a Chinese description of the call, Li told von der Leyen,” The resolute measures taken by China are not only to protect its own independence, stability, and advancement interests, but also to protect international business rules, international fairness and justice.”
Von der Leyen’s second term in office officially began in December, so they had their first visit. It was also the first high-level exchange between the two parties since US President Donald Trump’s world taxes, which China reacted highly to. The European Union is also working out a reply.
According to South China Morning Post, the EU raised business concerns with China, but the summary’s formulation suggested that the group was attempting to ameliorate relations with Beijing, which have deteriorated in recent years.
Some observers think it makes sense to try to improve relations as both sides are under pressure from US trade behavior and deal with shaky financial problems, even though European governments are still concerned about China’s economic guidelines.
China has reacted to US levies, but the EU is also developing its strategy. On Wednesday, EU members may vote on possible solutions to US tariffs on steel and aluminum. Next week is expected to see a reaction to the “reciprocal taxes” and vehicle duties.
Brussels is also mindful about being caught up in a major powers conflict. In a read-out of the Brussels contact, Van der Leyen” called for a negotiated quality to the current situation, stressing the necessity of avoiding more escalation.”
Trump’s violent trade policy has sparked a remarkable market sell-off, raising the possibility of an global recession, and he has ruled out any pause in it.
Beijing, Washington’s main financial competitor and a significant trading partner, responded by announcing its own 34 percent responsibilities on US products, which will go into effect on Thursday, furthering a battle between the country’s two largest markets.
