China says U.S. investigation "blatant display" of unilateralism, protectionism

BEIJING, Jan. 17 (Xinhua) -- China on Friday expressed strong opposition to the Biden administration's Section 301 investigation into China's maritime, logistics and shipbuilding sectors, calling the action a blatant display of unilateralism and protectionism.

The investigation, motivated by domestic political interests and aimed at hindering China's development, undermined the multilateral trading system and violated international trade rules, said a spokesperson for the Ministry of Commerce.

The spokesperson also criticized recent U.S. sanctions on multiple Chinese companies.

The World Trade Organization (WTO) has already ruled that additional tariffs the United States previously imposed on Chinese goods under Section 301 violated WTO regulations.

The spokesperson noted that the investigation report released Thursday is filled with unfounded accusations against China.

The decline of the U.S. shipbuilding industry has nothing to do with China, the spokesperson said, stressing that U.S. companies' global market share had already decreased significantly long before China emerged as a major player in the sector.

The growth of China's shipbuilding industry was not due to so-called non-market practices, but because of a robust industrial system, highly skilled engineers and workers, and an open business environment, the spokesperson said.

China's maritime market has always been open to foreign vessels and companies without discrimination and its industrial policies treat both domestic and foreign businesses equally, according to the spokesperson.

In contrast, the Biden administration has provided heavy subsidies to domestic industries through the Inflation Reduction Act and the CHIPS and Science Act, with many of these subsidies being discriminatory. Such measures undermine the effectiveness and authority of WTO rules and are a true example of non-market practices, the spokesperson said.

The spokesperson called on the Biden administration to address the legitimate concerns of Chinese and U.S. companies and to stop shifting blame onto China for challenges in domestic industrial development.

China will closely monitor the U.S. actions and take necessary steps to protect the legal rights and interests of Chinese companies, the spokesperson said.

The China Chamber of Commerce for Import and Export of Machinery and Electronic Products also voiced its opposition to the U.S. investigation.

The organization called on the United States to objectively evaluate the problems in its maritime, logistics and shipbuilding industries, rather than resorting to unfair and unreasonable measures.

The country should consider the concerns of businesses and carefully evaluate the potential damage the investigation could inflict on all parties involved, including the U.S. itself, the organization said. ■