‘China-India economic and trade relationship is…’: Beijing's big remark amid Donald Trump's 104% tariffs

Yu Jing, the spokesperson of the Chinese Embassy in India, on Wednesday said trade relations between India and China are based on mutual benefits and complementarity, amid the ongoing trade war with the United States.

“China-India economic and trade relationship is based on complimentarity and mutual benefit,” said Yu Jing in a social media post on X. 

The embassy spokesperson also highlighted that the current US tariffs on the Asian nation deprive “Global South” countries of their right to development amid the US-China tariff war.

“Facing the US abuse of tariffs, which deprives countries, especially Global South countries, of their right to development, the two largest developing countries should stand together to overcome the difficulties,” she said.

Who will win the tariff war?

A tariff war between two or more nations related to international trade has no winners, as people on both sides of the court have something to lose.

Highlighting this aspect of a trade war, the spokesperson also pointed out that world nations should uphold the principles of extensive consultations and true multilateralism in an escalating trade war. 

“Trade and tariff wars have no winners. All countries should uphold the principles of extensive consultation, practice true multilateralism, jointly oppose all forms of unilateralism and protectionism.,” said Yu Jing in the post.

China ‘focuses on innovation’

China's economy is based on manufacturing, industrial systems, investments in research and development (R&D), and a strong focus on innovation, which helps the government to ensure steady growth in the nation.

“China's economy is underpinned by a system that ensures steady growth, and produces positive spillovers. Chinese manufacturing is built on a complete and continually upgrading industrial system, sustained investment in R&D, and a strong focus on innovation,” she said. 

Yu Jing also stated that China contributes nearly 30 per cent to global growth every year, and the nation still seeks to continue its work, prioritising its efforts to safeguard the multilateral trade system with the international trade body, World Trade Organization (WTO).

“China is a firm defender of economic globalization and multilateralism, which has injected strong impetus into the world economy, contributing to around 30 per cent of global growth annually on average. We will continue to work with the rest of the world to safeguard the multilateral trade system with the World Trade Organization (WTO) at its core,” she said.

US tariffs on China

The White House officially announced on Tuesday, April 8, that it had, in total, imposed 104 per cent tariffs on China after the Asian nation retaliated to Trump's ‘reciprocal tariff’ move with 34 per cent additional tariffs on Friday, April 4. 

“It was a mistake for China to retaliate. When America is punched, He punches back harder. That's why there will be 104 per cent tariffs going into effect on China tonight... If China reaches out to make a deal, he will be incredibly gracious,” said Karoline Leavitt, the press secretary of the White House on April 8.

On Sunday, April 6, Donald Trump threatened China with an extra 50 per cent tariff move if they did not comply with the directive to tune down the additional tariffs on Western nations. The US implemented the tariffs after China failed to comply with the directive.

China's 34 per cent additional tariff move sparked a US stock market crash last week as investors worldwide started to fear an upcoming global recession. Markets took another hit on April 8 after the 104 per cent tariff announcement.