The introduction of bilateral tariffs by the United States has gotten a lot of international attention. The Women’s Republic of China’s Ambassador to Thailand, Han Zhiqiang, shared his thoughts on the subject.
A trade deficit constitutes a crime?
International business is fundamentally based on the resources and comparative advantages of each nation, with deliberate exchange and reciprocal benefit at the forefront.
Because Thailand has a value benefits, British firms chose Thailand as a foundation to make tough drives and then sell them back to the United States.
What of the United States ‘ trade deficit in services, which amounted to an enormous US$ 295.2 billion in 2024, if one claims that Thailand has a business deficit with the United States and deems that Thailand is engaging in cruel business and should be subject to tariffs? Does that mean the United States is unjust to its international trading partners? If the world punish the United States in retaliation?
The mutual levies in place in the US violate fundamental economic principles. The foundation of global economic development is labor sector and free trade.
In reality, the United States has been the biggest contributor to the international trading system. American consumers are satisfied with high-quality, affordable goods from all over the earth, while the US retains merits in high-value industries like finance and technology. The director-general of the World Trade Organization ( WTO ), Ngozi Okonjo-Iweala, once said that” the United States is the biggest winner in global trade.”
Tariffs as force
The US uses tariffs as a means of exerting severe pressure on its trade partners in an effort to get from them.
In fact, this is social strength putting pressure on trade partners by acting unjustifiably unilaterally. Imagine if every nation put itself second and relied on its reputation as the world’s top strength if there were over 190.
The world may turn into a powerful woods. The global order may be severely impacted, and fragile and marginalized nations would incur.
The United States has stifled global supply chains and caused a severe recession, drawing powerful criticism from many different countries, by starting a trade war.
Anwar Ibrahim, the prime minister of Malaysia, urged Asean nations to stop being careless.
Singapore’s Prime Minister Lawrence Wong warned that the US’s actions are putting the world in a new era of random power, isolationism, and danger.
Ursula von der Leyen, president of the European Commission, claimed that the US’s hostile tariff policy would have serious effects on the world economy and harm consumers everywhere. It was described as a” tragedia of global trade,” according to Canadian Prime Minister Mark Carney.
What did China say in response?
The main value of China-US economic and trade relations is common advantage. Both nations are significant dealing partners for products, services, and other types of investments. China and the US have a lot of reasons why maintaining balance and green growth in economic and trade relations between the two nations is important, as well as maintaining stability.
The truth is that both China and the US profit from each other’s cooperation. However, both suffer when they fight. Protectionism is not the answer because there are no victors in a trade war. The success of China and the US serves as a chance for them to compete against one another, hardly a danger.
China won’t fight off a trade war, but it must retaliate if taxes are absurd. China has taken strong measures to protect both fairness and justice for society, as well as its legitimate freedom and the regulations of global free trade.
The trade war started with the United States, and in the close, it has hurt both people and itself. Shoppers in America bear the brunt of the costs.
According to research from the Peterson Institute for International Economics ( PIIE), importers, downstream businesses, and consumers in the United States are ultimately responsible for over 90 % of tariff costs.
This reality has just been reflected in the US stock and bond markets ‘ recent rollercoaster-like uncertainty.
A saying from the Chinese language is,” One lifts a stone just to drop it on one’s own feet.”
I think the US’s improper use of taxes does sway criticism from nations all over the world as well as from the country’s intelligent and discerning citizens.
Trade relations between China and Thailand
Both China and Thailand have a shared coming thanks to their geographical proximity. We are significant trading partners for both products and industrial bars.
China and Thailand should work together to promote bilateral trade, promote flexibility, and promote connection in supply chains in the midst of global financial turmoil.
We may use platforms like China-Asean assistance mechanisms, the WTO, and other forums to need all countries to uphold the principles of non-discrimination, flexibility, and peaceful coexistence in order to simultaneously protect and promote an empty international cooperation environment.
China will continue to work harder and offer growth prospects to nations like Thailand.
With a population of 1.4 billion and a buyer business worth almost US$ 7 trillion, China welcomes more premium Thai goods into its industry.
China may encourage local institutions, business organizations, and business representatives from both nations to strengthen ties.
We will even support Chinese businesses in Thailand to fully exploit the nearby commercial chain, collaborate with Thai SMEs for shared development, and contribute to the growth of Thai industry– all of this while assisting Thailand’s transition to a online and natural economy.
China and Thailand are willing to work together to establish a model for economic and trade assistance, promote balance in an uncertain world environment, and increase confidence in global economic growth.