Chinese ambassador to India, Xu Feihong, expressed Beijing's strong opposition to the United States' aggressive tariffs on India, branding the US as a "bully" during an event held in Delhi on Thursday. He emphasized the necessity for increased collaboration between India and China amidst strained trade relations between Delhi and Washington.
Xu criticized the US for leveraging tariffs as a "bargaining chip" to extract "exorbitant prices" from countries like India. He specifically pointed out that the US has imposed tariffs as high as 50% on Indian goods and even hinted at further increases. “Silence only emboldens the bully,” Xu stated, making clear China's stance against such economic pressures.
Earlier this month, former President Donald Trump enforced a 25% tariff on India, alongside another 25% for India’s purchases of oil and military equipment from Russia. This policy is set to take effect on August 27. India has justified its increase in affordable Russian crude imports, particularly post-Ukraine war, asserting that it must prioritize low-cost energy sources for its millions of impoverished citizens. The Biden administration had previously advised India to procure Russian oil to aid in stabilizing global energy prices.
As India navigates its complex trade dynamics with the US, its relationship with China appears to be warming. The two countries' relations have been tense since the deadly clashes in the Galwan Valley in 2020; however, both nations have recently shown signs of rapprochement.
In a recent visit to Delhi, Chinese Foreign Minister Wang Yi advocated viewing India and China as "partners" rather than competitors, a sentiment echoed by Xu. He referred to the two nations as the "double engines" driving economic growth in Asia, asserting that their unity would be beneficial globally. He urged Indian businesses to consider investments in China and underscored the need for a "fair, just, and non-discriminatory" environment for Chinese enterprises in India.
Xu further remarked on the disruptive nature of tariff and trade wars on the global economy, advocating for a united front with India to support the multilateral trading system, particularly through the World Trade Organization (WTO). He expressed hope that Prime Minister Narendra Modi's forthcoming participation in the Shanghai Cooperation Organization summit in China would foster new momentum in China-India relations.
