Xinhua Commentary | Firmly promote high-level opening up, uphold multilateralism, and promote open cooperation.

On April 2, the United States announced the implementation of the so-called "equal tariff" plan, triggering a global trade war and provoking strong reactions from the international community, including significant fluctuations in global financial markets, including the US. China promptly implemented necessary countermeasures and joined the international community in opposing the US tariff bullying and firmly defending multilateralism and economic globalization. The US' so-called "equal tariff" policy is illogical and violates basic economic principles. The US tariff calculations are simplistic and aggressive, and the so-called "equal tariff" rates for each country are not calculated as the US claims based on "the country's (region's) tariff rate against the US + non-tariff barriers," but based on the ratio of the US trade deficit with that country (region) to the country's (region's) exports to the US. This calculation method is arbitrary and lacks reasonable and legitimate basis. The US intention to eliminate the trade deficit is not feasible, as the fundamental reason behind the US's massive trade deficit is the imbalance in the US domestic economy. The protectionist measures cannot revive US manufacturing, and higher tariffs cannot eliminate the trade deficit. The US' so-called "equal tariff" is a typical tariff bullying action that violates WTO rules. The US's "equal tariff" policy subverts the existing international economic and trade order and prioritizes US interests over international public interests. The US' claims of "equality" are deceptive and counterproductive. Its differential tariff rates violate the WTO principle of non-discrimination among members, and will seriously damage the normal international economic and trade order and the stability of the global supply chain. The US policy has been met with widespread criticism and opposition from the international community. The President of the European Commission, Von der Leyen, stated that the US's tariff policy is contrary to its goals, and the EU will take countermeasures. The Brazilian Congress passed an Economic Equality Act authorizing measures to counter US trade barriers. Chilean President Boric stated that the US government's unilateral actions discard all principles within the framework of the WTO, embracing a "might makes right" philosophy. Australian Prime Minister Albanese criticized the illogical basis of the US tariff policy, undermining the foundation of the bilateral relationship. The US's so-called "equal tariff" policy is unpopular domestically, as US capital markets saw consecutive days of decline, with all three major indices in New York falling by more than 5% on April 4, and the Wall Street Fear Index soaring by 46% in a single day. The market is expressing strong concerns over the potential backlash effects of the so-called "equal tariffs." China's countermeasures are justified and legal, and it hopes the US will correct its course. In response to the US's "equal tariff" policy, China promptly took necessary countermeasures to defend its legitimate rights and interests. China's position on the trade war is consistent and clear: China does not want a trade war, as there are no winners in trade wars, but China is not afraid of one either. If the US implements so-called "equal tariffs," China will inevitably respond with equivalent countermeasures. The essence of China-US economic and trade relations should be mutually beneficial. As two major countries, it is normal to have economic and trade disagreements. Both sides should find solutions to their concerns through negotiations based on mutual respect and equality, rather than resorting to unilateral suppression or extreme pressure tactics. China urges the US to correct its mistakes, strengthen communication with China and relevant parties, and properly address economic and trade disputes. China is firmly committed to upholding multilateralism and promoting free trade for mutual benefit. China is willing to work with major global economies and developing countries to reform and improve the rules of the multilateral trading system, facilitate liberalization and facilitation of global trade and investment, and actively shape a friendly international economic and trade environment. China will further promote opening up, treat all types of enterprises equally, and improve the system for promoting foreign investment, guaranteeing national treatment for foreign enterprises in terms of resource acquisition, qualification licensing, standard setting, government procurement, and create a market-oriented, rule-based, international first-class business environment. China will accelerate the expansion of a high-standard network of free trade zones worldwide, push for a variety of multilateral and bilateral trade agreements, establish closer and mutually beneficial economic and trade relationships with other countries, and allow trading partners to better share in China's development dividends. Moreover, China will work with great effort to maintain the stability of the global industrial chain and supply chain, guide companies to "go global" in an orderly manner, and create more investment, employment, and industrial development opportunities locally to promote global economic prosperity and stability. China has always been a stable anchor and safe haven for the global economy, welcoming foreign companies to invest and do business in China. As the world's second largest economy, China has long contributed around 30% to global economic growth, playing a crucial role in stabilizing the global economy during times of crisis such as the Asian financial crisis at the end of the last century and the 2008 international financial crisis. Currently, China has a vast market and complete industrial system, being the world's second largest consumer market and home to the largest middle-income group globally, giving it a solid foundation and strong resilience to external risks and challenges. China's economy is transitioning to a new phase, rapidly building a modernized industrial system tailored to local conditions, with significant developments in high-end, digital, and green industries, and the emergence of new technologies, products, and business models. China will continue to be an attractive environment for foreign investment. Importantly, China has maintained long-term political stability and social order, with a clear policy environment contrasting sharply with the uncertainty of the external environment. The Third Plenum of the 20th CPC Central Committee emphasized the construction of a new high-standard open economic system, paving the way for expanding high-level openness for a new era.China has established a clear institutional framework for opening up to the outside world. China continues to strengthen the construction of laws and regulations for opening up, effectively implement the Foreign Investment Law, and create a transparent, stable, and predictable policy environment for foreign investors. It is precisely because of this valuable certainty that more and more international investors are optimistic about the Chinese market and development prospects. China welcomes companies from all countries around the world to invest and do business in China, and to share the huge opportunities in the Chinese market development.This article is reprinted from "Xinhua News Agency"; GMTEight Editor: Huang Xiaodong.