Chinese Envoy Urges India-China Economic Cooperation to Counter US Tariffs

Chinese ambassador Xu Feihong has called for stronger economic ties between India and China as a response to what he describes as unfair and unreasonable tariffs imposed by the Trump administration on India. The envoy's statements highlight the complex dynamics of the US-China-India trade relations and suggest a potential shift in regional economic strategies.

China's Opposition to US Tariffs

Ambassador Xu Feihong expressed China's opposition to the 50% tariffs imposed by the Trump administration on India. He characterized these tariffs as both unfair and unreasonable, suggesting that the United States is using tariffs as a weapon to extract costs from various countries.

Call for India-China Economic Cooperation

The Chinese envoy emphasized the potential for increased economic cooperation between India and China. Xu pointed out that the two nations, with a combined population of 2.80 billion people and complementary economies, are well-positioned to scale up their trade cooperation. This proposal is seen as a strategic move to jointly counter US tariff policies.

Recent High-Level Discussions

Ambassador Xu referenced recent discussions between Chinese President Xi Jinping and Prime Minister Narendra Modi during the Shanghai Cooperation Organisation (SCO) summit. These talks reportedly focused on enhancing economic cooperation between the two Asian giants, indicating a potential alignment of interests in the face of US trade policies.

Visa Issuance and Investment Climate

In an effort to demonstrate China's commitment to strengthening ties with India, Xu mentioned that China has issued over 240,000 visas to Indian citizens. Additionally, he expressed China's welcoming stance towards Indian companies investing in China.

Reciprocal Business Environment

While encouraging Indian investment in China, Ambassador Xu also called for a fair business environment for Chinese enterprises operating in India. This request for reciprocity underscores the delicate balance required in fostering stronger economic ties between the two nations.

Implications for Global Trade

The Chinese envoy's statements reflect the ongoing shifts in global trade dynamics. As the US continues to use tariffs as a tool in its trade policies, countries like China and India may find common ground in economic cooperation as a counterbalance. This development could potentially reshape trade relationships in Asia and have far-reaching implications for the global economic landscape.

As these discussions unfold, the international community will be watching closely to see how this proposed India-China economic cooperation develops and what impact it may have on their respective relationships with the United States.