The escalating trade conflict initiated by U.S. President Donald Trump against Canada, Mexico, and China is intensifying amid disputes over the manufacture and import of the opiate fentanyl, trade imbalances, and the surge of illegal border crossings by migrants from around the world, reports AP.
Below is Beijing’s perspective on the matter:
What Is China’s Response So Far?
China has reaffirmed its threat to implement “necessary countermeasures to defend its legitimate rights and interests” in response to Trump’s imposition of a 10% tariff on China. The tariff was justified on the grounds that China had not sufficiently curtailed the production of chemicals used to manufacture fentanyl.
Although the Foreign Ministry’s statement issued on Sunday did not specify any exact retaliatory actions, it urged, “China calls on the United States to correct its wrongdoings, maintain the hard-won positive dynamics in counternarcotics cooperation, and foster a steady, sound, and sustainable development of the China-U.S. relationship.”
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China also argues that the U.S. measures breach World Trade Organization regulations, and it has pledged to bring the matter before the global commerce authority.
In a similar tone, the Ministry of Public Security released an almost identical statement on Sunday, and the Commerce Ministry followed with a comparably worded announcement.
Who Is China Blaming?
Trump has accused China of enabling the production of fentanyl, which is then processed into tablets in Mexico and smuggled into the U.S.—a country that records approximately 70,000 overdose deaths linked to the drug each year.
China, however, asserts that the United States must address its own issues rather than “threatening other countries with arbitrary tariff hikes.” The Foreign Ministry stated, “The United States needs to view and resolve its own fentanyl problem in an objective and rational manner ... (China is) among the world’s most rigorous countries regarding counternarcotics policy and enforcement.”
While experts estimate that China executes an unknown number of individuals annually for drug smuggling offenses, domestic drug use within the country remains relatively low.
Additionally, the Ministry of Public Security noted that since Beijing began to implement legal measures, the U.S. has not reported any seizures of fentanyl precursors originating from China.
What Other Factors May Influence the Dispute?
A long-standing issue in this dispute is China’s massive trade deficit with the U.S., which reached nearly $1 trillion last year—a frequent target of Trump’s criticisms. The tariffs would increase the cost of Chinese goods for U.S. consumers, who would ultimately bear a substantial portion of the expense for imported products ranging from toys to clothing.
China’s critical export market could suffer if U.S. consumers choose to “buy American.” At the same time, the Chinese domestic economy has struggled to respond to various government-backed stimulus measures, and major initiatives like foreign infrastructure projects, which add to the already significant public debt, further jeopardize economic growth.
These economic challenges are beginning to undermine Chinese President Xi Jinping’s ambitions to surpass the U.S. in key economic and political arenas, thereby threatening his long-term goal of dominating the island nation of Taiwan and asserting China’s supremacy in the Indo-Pacific region.
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Moreover, curbing illegal immigration remains one of Trump’s central political themes, having been a factor in tariff actions against neighboring nations such as Mexico and Canada. Although the number of illegal entries from China is only a small portion compared to those from other countries, Trump has signaled that he will hold every nation responsible for its nationals who enter the U.S. unlawfully.