US to gain by ending additional tariffs: Chinese experts, businesses

The remarks came after US commerce secretary Gina Raimondo said recently that US President Joe Biden has ordered to explore the option of lifting some tariffs on certain imports from China to combat high inflation.

However, it seems the United States may stick to its overall strategy of countering China's rise and expect China to deepen reform and expand high-level opening-up to cope with the situation, official Chinese media reported.

"As the world's two largest economies, any improvement in economic and trade relations between the US and China will be beneficial not only for themselves but also for the world," said Tu Xinquan, dean of the China Institute for WTO Studies at the University of International Business and Economics in Beijing.

Any US decision to remove tariffs on certain Chinese goods will only be made to serve its purpose of mitigating pressure on US economic growth while also continuing to suppress China through decoupling as much as possible, he said.

Yet, it would be difficult for the United States to seek decoupling from China, especially in areas where it has high reliance on Chinese goods and supply chains, like daily consumer products, he added

Zhang Yansheng, chief researcher at the China Center for International Economic Exchanges, said the United States will probably remove tariffs on consumer goods, because that will help it to instantly raise economic benefits for its people and curb runaway inflation, but tariffs on products that will suppress China's technological innovations and economic upgrades may continue.

"About 60 percent of the additional tariffs were imposed to force foreign investors to relocate their manufacturing facilities and supply chains outside China. Such tariffs have caused significant burdens to foreign investors, including US enterprises," he said.

"Protectionism and decoupling in areas are the choice of some people, but only cooperation and healthy competition will bring more benefits to both countries and the world," he added.

Analysts and business leaders in China said their country’s acceleration of building a unified national market will help it to better cope with protective trade actions and weakened goods demand in certain countries. They also stressed the importance of deepening reform and expanding opening-up.

ALCHEMPro News Desk (DS)