China reiterates consultations as U.S. firms oppose tarrifs at hearing
China on Tuesday reiterated resolving trade disputes with the United States through negotiation as mounting opposition to proposed additional tarrifs on Chinse goods was voiced at a public hearing in Washington.
This came as Chinese Foreign Ministry Spokesperson Lu Kang responded to a query on public hearings regarding proposed U.S. tariffs on approximately 300 billion U.S. dollars' worth of Chinese imports, which kicked off on Monday.
According to media reports, U.S. industrial associations and companies, including the American Apparel and Footwear Association, Qualcomm and Intel told the hearing that they have few alternatives other than China for producing clothing, electronics and other consumer goods as the Trump administration prepares new tariffs on remaining U.S.-China trade.
Dozens of witnesses were reported as saying sourcing from other countries will raise costs, and moving operations to Vietnam and other countries would not be feasible for years due to a lack of skills and infrastructure in those locations.
Meanwhile, according to an estimate by Trade Partnership Worldwide LLC., the U.S. imposition of 25 percent levies on an additional 300 billion dollars of Chinese imports would result in the loss of more than 2 million American jobs.
Lu said the Chinese side has noticed that as the hearing kicked off, opposition to proposed tariffs is growing louder in the United States.
Lu quoted a report recently released by Goldman Sachs which revised up its estimate of the tariffs' impact on U.S. core personal consumption expenditures, saying "costs of the tariffs had fallen entirely on U.S. businesses and households".
For a long time, win-win cooperation on trade and investment has produced great benefits to both Chinese and U.S. businesses and consumers, Lu said, stressing that history has proven that trade disputes between the two sides can be solved through consultations, as long as the consultations are based on mutual respect, equality and mutual benefits.
"Deviation from this will end up with nowhere," Lu said.