Beijing: In the light of the unleashed trade war initiated by the United States, the Chinese Embassy in the United States proclaimed on Wednesday that it was “ready to fight to the end” in the war.
The main Asian markets exchanged Wednesday, overthrowing their losses one day after US President Donald Trump imposed more prices covered on Chinese imports after a similar move last month.
American prices are expected to reach hundreds of billions of dollars in total trade between the two largest economies in the world.
“If the war is what the United States wants, whether it is a tariff war, a trade war or any other type of war, we are ready to fight until the end,” said the Chinese Embassy in the United States in an article on X.
The embassy responded to a position published by the spokesman for the Chinese Foreign Ministry of Foreign Affairs where he denounced the decision to raise prices on Chinese imports during the fentanyl crisis “, the question of fentanyl is a fragile excuse to raise prices on Chinese imports to us. Our countermeasures to defend our rights and interests are completely legitimate and necessary”.
“The United States, no one else, are responsible for the fentanyl crisis in the United States in the spirit of humanity and goodwill towards the American people, we have taken robust measures to help the United States to face the question. Instead of recognizing our efforts, the United States sought to dirty and change their blame for China, and seek to sing and sing.”
China is also looking for progress because it ambitiously set an annual growth objective of around 5% on Wednesday, promising to make domestic demand its main economic engine as an increasing trade war with the United States.
Beijing has also announced a rare increase in budgetary financing, allowing its budgetary deficit to reach four percent this year while it is fighting employment for young people, the demand for obstinately low consumption and a debt crisis in the persistent real estate sector.
The growth figure of the stems announced by Prime Minister Li Qiang in an annual conclave of the Communist Party was largely in line with a AFP Investigation of analysts, although experts say that he is ambitious given the scale of China’s economic challenges.
Some 12 million new jobs will be created in Chinese cities as part of the plans while Beijing is asking for 2% inflation this year.
A government work report has promised to make domestic demand the “main engine and the anchoring” of growth, adding that Beijing should “move faster to meet inadequate domestic demand, in particular insufficient consumption”.
And in a rare decision, Li declared that China would increase its budget deficit by a percentage point – its highest level in good by more than a decade – which said that analysts will give Beijing more latitude to combat its economic slowdown.
The growth objective will be “difficult but possible,” said Dylan Loh, assistant professor at the Nanyang technological university in Singapore.
He said low consumption was a “confidence problem”, adding that “if people are, in their own calculations, worried about spending – especially for large tickets – it is much more difficult to contact”.
Another analyst said that Beijing policies were not yet “large enough to increase the feeling of consumers”.
“We have to see a very wide recovery of employment, income as well as the real estate market before we can really see a change in consumption models and the retail sales trend,” said Yue Su, the main economist of the Economy Intelligence Unit, said AFP.
“Internationally, invisible changes in a century take place around the world at a faster rate,” said the government’s report.
“Unilateralism and protectionism are increasing,” he warned.
“At the national level, the foundation of economic recovery and economic growth in China is not strong enough,” said the report.