Following United States President Donald Trump announced imposition of import tariffs on steel and aluminum by 25 percent and 10 percent respectively on March 8, Chinese media, opinion leaders and the government unleashed their concerns and responses, while the international community has raised its voice.

The rationale behind Trump's global threat is that the excessive import of steel and aluminum could weaken the country's security, though he has excluded Canada and Mexico from the punitive list.

But many countries, including China, do not believe his reasoning.

In a statement on March 9, Wang Hejun, director of the trade remedy and investigation bureau of the Ministry of Commerce of China, said the vast majority of steel and aluminum products the US imported were "for civilian use".

Wang said the US measures are in essence trade protectionism under the guise of national security. "China will firmly oppose the behavior, which violates World Trade Organization rules."

South Korea, the third-largest exporter of steel products to the US, has even considered filing a complaint with the WTO. The European Union has also reacted strongly.

After meeting US Trade Representative Robert Lighthizer on March 10, EU Commissioner for Trade Cecilia Malmstrom tweeted: "As a close security and trade partner of the US, the European Union must be excluded from the announced measures."

Ready to Retaliate

While busy with bilateral consultations, US global trading partners are also working on product lists to take preventive measures to counter any potential negative impact on their national interests.

European commissioners reiterated that US-exported products to the EU, such as steel, peanut butter, bourbon whiskeys and denim jeans were on the hit list, if the US decides to implement the tariff adjustments, Xinhua News Agency reported on March 9.

A similar list was also suggested by China Iron and Steel Association. On March 9, its secretary general, Liu Zhenjiang, during an interview with China Central Television, called on the Chinese government to retaliate against the US move by targeting "stainless steel products, galvanized sheet, seamless pipe, coal, agriculture products and electronic products" imported from the US.

The association leader also called on the industrial members to go into action and firmly respond to the US challenges.

Trade war lingering

It is widely debated whether a global trade war will occur after the American move, but the Chinese government has firmly insisted that the world should avoid it.

Talking on March 12 at a press conference on China's foreign policies and relations, Foreign Minister Wang Yi emphasized that history teaches that trade war is never the right solution.

"Given today's globalization, choosing a trade war is a mistaken prescription. The outcome will only be harmful," Wang Yi noted, adding that both sides should turn to equal and constructive dialogue and seek out a win-win result.

Song Guoyou, deputy director of the American Studies Center at Shanghai-based Fudan University, said during an interview with thepaper.cn that impositions of steep tariffs will not trigger a trade war between China and the US in the short term.

He said the high tariff policies do not specifically target China but all the US trade partners, with the exemption of Mexico and Canada, thus China will not start a "war of trade".

China does not want a trade war, nor will it take the lead to initiate one, Minister of Commerce Zhong Shan said on March 10, China Daily reported in an editorial, China is not afraid of trade war with US.

The escalation of trade disputes between the world's top two economic powers is set to disrupt the normal global trade order and could result in a trade war if the US continues with its irresponsible trade policies, since it would leave China with no choice but to retaliate. Dominic Ng, chairman and CEO of East West Bank, said in a recent interview with Xinhua in Pasadena, California, that public opinion in the United States has been turning against free trade but the people would not like a trade war, not to speak of a ridiculous trade war based on wrong calculations.

Li Wei, a researcher at the National Academy of Development and Strategy, Renmin University of China, said the Trump administration will not lead the country to extreme protectionism.

"Trump has good flexibility," Li told news website cankaoxiaoxi.com, citing Trump's governance during the year since he took the office.

US trading partners will have to make more compromises when doing business with the US, making the country a greater beneficiary.

"China should take the US-triggered trade protectionism seriously," Li pointed out.

All rights reserved. Copying or sharing of any content for other than personal use is prohibited without prior written permission.