Beijing Reassures India on Trade Practices

Amid growing concerns over the potential flooding of cheap Chinese goods into global markets due to the ongoing trade war with the United States, Beijing has taken a step to reassure India. Chinese envoy to India, Xu Feihong, emphasized in a recent opinion piece that China is committed to fair trade practices.

Focus on Domestic Demand and Consumption

Xu highlighted China's focus on expanding domestic demand and boosting consumption, stating, "China strictly complies with WTO subsidy disciplines and market rules." He assured that China would not engage in market dumping or disrupt other countries' industries and economic development.

Trade War Impact and India's Response

The trade war between the US and China has led to retaliatory tariffs exceeding 100%, causing global market instability. In response to the surge in cheap imports, especially from China, India has imposed a 12% temporary tariff on certain steel imports, affecting Indian mills and prompting job cuts.

Efforts to Mend Relations

Despite past tensions, including a 2020 border clash, China and India are working to improve their relationship. Chinese President Xi Jinping has proposed enhanced cooperation, marking the 75th anniversary of diplomatic relations. Xu also expressed China's willingness to increase imports from India and deepen trade engagement.