China Rejects US Tariff Report as Mexico Plans New Curbs on Chinese Goods

Key facts

• China rejected a White House report on Thursday that accused its exporters of routing goods through Mexico and other countries to avoid US tariffs.
• He Yadong, spokesman for China's Ministry of Commerce, called the report a 'false narrative' and a 'typical exercise in unilateralism and protectionism.'
• He accused Washington of 'blaming external factors for its own economic problems.'
• He stated that 'the high differentiated tariffs imposed by the United States are the real cause threatening the security of global supply chains.'
• Mexico is preparing to restrict Chinese products further, considering new duties on Chinese steel and textiles.
• The White House report estimated 450,000 American jobs and up to US$150 billion in lost output, but these are model-based illustrations.
• The report conceded that the shift in US import sourcing after 2018 does not prove all displaced Chinese trade was illegally diverted.
• He Yadong demanded an immediate end to irresponsible accusations and said China would continue developing commercial cooperation with all parties.