China Slams US Trade Ban on Vehicles with Chinese Technology

China cautions the US not to discriminate against its firms after reports that the US may ban vehicles using Chinese and Russian technology. Tensions rise in trade.

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On Monday, September 23, China gave a strong warning to the United States. This warning came after news that the US might ban vehicles that use technology from China and Russia. This situation raises concerns about the ongoing trade tensions between the two countries.

Bloomberg and other news outlets reported that the US government is thinking about new rules. These rules would stop the use of hardware and software made in China in American vehicles. 

In response, Lin Jian, a spokesman for China’s foreign ministry, spoke out. He urged the US to respect fair business practices. He also called for a fair and open environment for Chinese companies.

Lin said, “China opposes the US's broadening of the concept of national security and the unfair actions taken against Chinese companies and products.” He stressed that China will protect its rights and interests.

If these new rules happen, it would be a big step in the ongoing trade conflict between the US and China. The relationship between these two countries has been tense for a while, especially regarding trade policies.

In May, the US introduced large tax increases on Chinese imports. These taxes affected products like electric vehicles (EVs) and computer chips. The White House announced that these taxes would impact about $18 billion worth of Chinese goods. This move targeted important areas like electric vehicles, batteries, critical minerals, and medical products.

The tax on electric vehicles is set to rise dramatically. It will increase to 100 percent this year. The tax on computer chips will also rise sharply, going from 25 percent to 50 percent by next year.

These plans were finalized this month, just before the presidential election in November. Both the Democratic and Republican parties want to show they can take a strong stand against China. 

As competition between the US and China grows, these actions reflect the ongoing rivalry.

The recent tax increases followed a review of earlier taxes set by former President Donald Trump. Those taxes affected about $300 billion in goods from China. The current administration is continuing this tough approach.

In addition to the tax increases, the US Trade Representative's office confirmed more changes. A 50 percent duty on computer chips is set to start in 2025. This is a big jump from the previous rates.

US President Joe Biden has been clear about his views on China. He has accused China of "cheating" instead of competing fairly in trade. These accusations have made the situation even more tense.

As the US and China deal with these trade issues, many people are watching closely. The potential ban on Chinese technology in vehicles could have big effects. It may impact not only the two countries but also markets around the world.

As this story develops, it is important to pay attention to any new announcements from both governments. The outcome of these trade talks will likely shape the future of US-China relation