China urges India to oppose US hegemony as tariff war escalates

China calls for stronger ties with India amid growing US-China trade war

As tensions between China and the United States escalate following Washington’s decision to double tariffs on Chinese imports to 20%, China’s Foreign Minister Wang Yi on Friday urged India and China to collaborate against global power politics.

Speaking after a National People’s Congress meeting, Wang emphasized that “making the dragon and elephant dance is the only right choice,” calling for mutual support and stronger cooperation between the two Asian giants. He argued that closer India-China ties would promote the “democratization of international relations” and strengthen the Global South.

India has yet to officially respond to Wang’s statement. However, on Thursday, Indian Foreign Minister S Jaishankar stated that India is working with China to establish a “more predictable and positive” relationship. This includes plans to resume pilgrimages to sites under China’s control, restart direct flights, and facilitate journalist exchanges.

China’s outreach to India amid border tensions

In response to a question about evolving ties with India, Wang highlighted “positive strides” in bilateral relations over the past year. He referenced military disengagement in Ladakh’s Depsang and Demchok, along with the October 2023 meeting between Prime Minister Narendra Modi and Chinese President Xi Jinping in Kazan, Russia.

Regarding the long-standing border dispute, Wang reiterated that bilateral ties should not be defined solely by boundary issues and that specific disagreements should not overshadow overall relations.

US-China trade war intensifies with new tariffs

The renewed trade war between the US and China is a continuation of policies from Donald Trump’s first presidential term. On Tuesday, Trump signed an order increasing tariffs on Chinese imports from 10% to 20%, citing Beijing’s failure to curb fentanyl exports—a synthetic opioid linked to the US drug crisis.

China swiftly responded, condemning the move as a violation of World Trade Organization (WTO) rules. The Chinese embassy in Washington warned, “If war is what the US wants… be it tariff, trade, or any other type, we’re ready to fight till the end.”

Beijing also imposed retaliatory tariffs of up to 15% on key American agricultural products, including soybeans, pork, and wheat. Additionally, China has filed a WTO complaint, accusing the US of imposing unilateral taxes that undermine trade cooperation.

Trump’s use of tariffs as a negotiation tool

Tariffs have become a central strategy in Trump’s second administration, with the US president using them to pressure both allies and adversaries. Trump has also imposed tariffs on India, frequently labeling it a “high tariff nation” and a “big abuser” of trade policies.

In a recent address to the US Congress, Trump criticized India’s trade policies as “very unfair” and vowed to introduce reciprocal tariffs. On February 13, just hours before a scheduled meeting with Prime Minister Modi, Trump announced a 25% tariff on Indian steel and aluminum imports. This decision triggered a sharp market reaction, with India’s Sensex stock index plunging over 1,000 points.

Tariffs under Trump’s first and second terms

During Trump’s first term (2017-2021), the US imposed tariffs on Canada and Mexico, citing concerns about illegal immigration and drug trafficking. Canadian Prime Minister Justin Trudeau accused Trump of punishing allies while “appeasing” Russia over the Ukraine war.

While Trump’s initial tariffs led to a temporary rise in US manufacturing jobs, the economic impact shifted after steel and aluminum tariffs were introduced in 2018. By 2019, the US manufacturing sector entered a downturn, with industrial production declining and job losses in key factory industries.

As Trump’s second term progresses, the global trade landscape remains uncertain, with India, China, and other nations closely watching Washington’s evolving tariff policies.

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