The United States has underestimated the Chinese people’s will to fight a trade war, an influential Chinese Communist Party journal said on Sunday, warning that Beijing is prepared for a long economic battle.
China will not give way on major principles in its negotiations with the United States on ending the dispute, the commentary in the ideological journal Qiushi said, Reuters reports.
“China will not be afraid of any threats or pressure the United States is making that may escalate economic and trade frictions. China has no choice, nor escape route, and will just have to fight it out till the end,” the commentary said.
“No one, no force should underestimate and belittle the steel will of the Chinese people and its strength and tenacity to fight a war.”
The commentary also accused the US of trying to hamper Chinese technological innovation.
“We must keep the initiative of innovation and development firmly in our hands, increase investment and research in key, core technology areas, pool together more high-value talents, enhance innovation and get rid of the core technology plight,” it said.
Qiushi said US consumers and businesses had reaped huge benefits from trade with China and warned that trade frictions would inevitably have a serious negative impact on the American economy.
“In an era of economic globalization, trade protectionism is poison, not panacea,” the article said, adding that higher tariffs would increase manufacturing costs for US businesses and push up US consumer inflation.
“As a result of the trade frictions, only a very few Americans will benefit, but the majority of Americans will suffer.”
The commentary came as the US Trade Representative’s Office will on Monday kick off seven days of testimony from US retailers, manufacturers and other businesses about Trump’s plan to hit another US$300 billion worth of Chinese goods with tariffs, Reuters noted.
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