Washington says China, not US, is the real trade protectionist

Washington says China, not US, is the real trade protectionist

Commerce Secretary Wilbur Ross also dismisses criticism the US is retreating from the world stage and leaving an opening for China, to build influence.

Wilbur-Ross
DAVOS:
Any protectionist agenda in the US pales in comparison to China’s, according to Commerce Secretary Wilbur Ross.

Ross found himself defending the Trump administration’s America First mantra in a panel at the World Economic Forum in Davos on Wednesday with a group of strong champions of globalisation.

He also brushed off criticism that the US is retreating from the world stage and leaving an opening for the world’s second-largest economy, China, to build influence.

Ross said President Donald Trump just has a forceful leadership style that some people don’t like.

“We don’t intend to abrogate leadership, but leadership is different from being a sucker and being a patsy,” he said. “We would like to be the leader in making the world trade system more fair and more equitable to all participants.”

He challenged the other panellists – including World Trade Organization Director-General Roberto Azevedo and Cargill Inc CEO David MacLennan – to quickly name a nation that’s less protectionist than the US. He got no responses.

Ross then cited a study of more than 20 products that showed China had higher tariffs on all but two items on the list, and Europe all but four.

“Before we get into sticks and stones about free trade we ought to first talk about, is there really free trade or is it a unicorn in the garden,” said Ross.

Despite the tariffs Trump imposed this week on solar panels and washing machines, China is hoping for a “bumper year” for new trade deals, according to China’s Commerce Ministry.

Earlier Wednesday, the Chinese president’s chief economic adviser, Liu He, told WEF delegates that the country will introduce more economic reforms than expected this year.

China doesn’t want to see an escalation of trade frictions with the US, and hopes to handle frictions in a “constructive” way, Gao Feng, the Ministry of Commerce spokesman said at a press conference on Thursday.

“China’s door for dialogue and communication is always open,” he said, adding that the nation will still take appropriate measures to counter unilateral, protectionist actions that go against WTO rules.

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