China warns countries against striking trade deals with US

Washington is reportedly pressuring countries to curb trade with China to avoid huge new US tariffs. Beijing has threatened “countermeasures” against trade partners that act against its economic interests.

ina on Monday threatened countermeasures against countries that “appease” the United States by striking trade deals with Washington at Beijing’s expense.

The warning follows a Bloomberg report that the US plans to pressure nations to curb trade with China if they want to avoid huge new US tariffs on their exports announced by President Donald Trump earlier this month.

The Trump administration says that dozens of nations want to renegotiate trade to prevent the new US penalties from taking effect, which would hurt their exports to the world’s largest economy.

The new tariffs have been put on hold for 90 days for all countries except China, which faces US levies of up to 145%. Beijing has hit back by raising tariffs on US imports to 125%

What did China say?

China’s Commerce Ministry released a statement Monday insisting that “appeasement will not bring peace and compromise will not be respected.”

The ministry warned other countries against putting “temporary selfish interests at the expense of others,” which it said would “ultimately fail on both ends and harm others.”

“China firmly opposes any party reaching a deal [with the US] at the expense of China’s interests,” the statement continued.

The ministry added that Beijing would “resolutely take reciprocal countermeasures” against any nation acting in this way.

Which countries are negotiating with the US?
Earlier this month, US Trade Representative Jamieson Greer said nearly 50 countries have approached him to try to avoid the new tariffs, which Trump says will address huge trade imbalances between the US and the rest of the world.

Several bilateral talks have taken place since. Japan is considering raising US soybean and rice imports as part of its deal with Washington.

South Korea says it has outlined a plan that would include new US liquified natural gas (LNG) purchases, along with shipbuilding and pipeline joint ventures.

Taiwan’s president, Lai Ching-te has, offered zero tariffs as a basis for talks, while Taiwanese firms plan increased US investments to sweeten the deal.

Indonesia, meanwhile, says it is planning to increase US food and commodities imports and reduce orders from other nations.

US Vice President JD Vance begins a four-day official visit to India on Monday as the two countries work to hash out a trade deal.

The European Union has paused retaliatory tariffs on $23 billion of US imports to allow negotiations to continue.

Trump: China, US also in talks

Despite the worsening rhetoric between Washington and Beijing, Trump last week said talks with China on tariffs are also underway.

“Yeah, we’re talking to China,” Trump told reporters in the Oval Office. “I think we’re going to make a very good deal with China.”

Beijing has yet to confirm the talks and has vowed to fight the trade war “to the end.”

How will countries balance China, US ties?
If they remain in place, the new US tariffs allow China’s rivals, particularly in Southeast Asia, to ramp up manufacturing specifically for the US market.

Many of these countries have already benefited from manufacturers diversifying their supply chains away from China in recent years as US-China trade tensions worsened.

By striking new energy deals with the US, Asian neighbors could also force China, the world’s largest LNG importer, to rely on more expensive, less reliable sources.

But they must tread a fine line, as most countries have grown heavily reliant on trade with China over the past 20 years and are seeking further opportunities.

ASEAN, the Southeast Asian regional bloc, conducted more than twice as much trade with China ($975 billion) as with the US ($398 billion) in 2024.

“The fact is, nobody wants to pick a side,” said Bo Zhengyuan, partner at China-based policy consultancy Plenum. “If countries have high reliance on China in terms of investment, industrial infrastructure, technology know-how and consumption, I don’t think they’ll be buying into US demands.”/DW/