US formally launches probe into China trade ties
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Washington has formally launched a probe into China’s alleged theft of US intellectual property (IP), in a move likely to spark a trade war with Beijing which has vowed to take “all appropriate measures” in response to the move.
“On Monday, President Trump instructed me to look into Chinese laws, policies, and practices which may be harming American intellectual property rights, innovation, or technology development,” said US Trade Representative Robert Lighthizer in a statement posted Friday on his official website.
“After consulting with stakeholders and other government agencies, I have determined that these critical issues merit a thorough investigation. I notified the President that today I am beginning an investigation under Section 301 of the Trade Act of 1974,” added the statement.
Beijing views the use of Section 301 as an act of aggression since it allows the US president to take action against the Chinese economy without consulting the World Trade Organization (WTO), which China joined as a member in 2001.
China has repeatedly warned Washington against bypassing the WTO since January. Its commerce ministry issued a statement on Tuesday expressing “serious concern” over Trump’s order to investigate US-China trade ties, insisting that the government would “definitely adopt all appropriate measures to vigorously defend the lawful rights and interest of China.”
“If the US side ignores the facts, and disrespects multilateral trade principles in taking actions that harms both sides’ trade interests, China will absolutely not sit by and watch, will inevitably adopt all appropriate measures, and resolutely safeguard China’s lawful rights,” the statement added.
