China's Commerce Ministry Speaks Out Against US Section 301 Investigation
Dou Shicong
DATE:  Aug 22 2017
/ SOURCE:  Yicai
China's Commerce Ministry Speaks Out Against US Section 301 Investigation China's Commerce Ministry Speaks Out Against US Section 301 Investigation

(Yicai Global) Aug. 22 -- The US ignored World Trade Organization rules in its Section 301 investigation into China, a spokesman for China's Ministry of Commerce said while speaking out against the unilateralism and protectionism displayed by the globe's largest economy.

US Trade Representative Robert Lighthizer officially began the probe on Aug. 18 to investigate whether China's policies and actions in technology transfer, intellectual property and innovation were unreasonable or discriminatory.

The two countries' heads of state, US President Donald Trump and Chinese President Xi Jinping, were making great progress in bilateral economic and trade issues after meeting at Trump's Mar-a-Lago resort in Florida in April and at the G20 summit in Hamburg, Germany last month. The Chinese commerce ministry believes the international community and American industrial circles will oppose the Section 301.

"We urge the US to respect the facts and multilateral trade rules and act prudently," the ministry said. "We will pay close attention to the progress of the investigation and take appropriate measures to safeguard the rights and interests of the Chinese government."

A Section 301 investigation covers Section 301 of the US Trade Act of 1974. The provision authorizes the US Trade Representative to investigate trade injustice in other countries and after the probe may recommend that the president implement unilateral sanctions, such as the withdrawal of trade preferences and the imposition of retaliatory tariffs. Since the establishment of the WTO in 1994, the number and frequency of unilateral sanctions initiated by the US have been significantly reduced.

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Keywords:   MOFCOM,Section 301,Trade Protectionism