China vice premier rejects 'completely unfounded' claims of squeezing out other economies at Shanghai expo
China's Vice Premier Ding Xuexiang has dismissed accusations that Beijing is squeezing out other economies as 'completely unfounded', opening the China International Import Expo in Shanghai with a defence of the country's trade policies.
China's Vice Premier Ding Xuexiang on Thursday brushed off what he called 'completely unfounded' concerns that his country was 'squeezing out' other economies, as he opened a major business fair in Shanghai aimed at enticing importers.
'Some institutions and media outlets have been hyping up the so-called ‘China squeeze’ theory,' Ding told more than 4,000 foreign companies gathered for the China International Import Expo, which has been held annually since 2018. 'Such claims ... are completely unfounded.'
The United States and European Union regularly accuse Beijing of heavily subsidising its industry and flooding foreign markets with its products, particularly in vehicle and green technology sectors, to the detriment of their own companies. The Asian giant runs significant trade surpluses with the United States and the European Union, fuelling tensions.
'It is only natural that people are paying attention to trade imbalances. The key issue is how to achieve a trade balance,' Ding told business representatives. He added that Beijing has 'never deliberately sought a trade surplus' and maintained that 'the competitiveness of Chinese products does not come from government subsidies.' Rather, it stems from their 'technological advantages, sustained high levels of investment in research and development.'
'There are many products we would like to import but cannot obtain because we are not allowed to buy them,' Ding added, in an apparent reference to US restrictions on the export of cutting-edge technologies to China, citing national security concerns. 'We will continue to create favourable conditions for companies from around the world to develop their businesses in China,' he said, reiterating messaging from Beijing.
International firms at the expo are seeking to expand into the Chinese market, while Beijing promotes its message that China is not just the world's factory but a vast market open to foreign products. However, foreign companies have raised concerns about difficulties in accessing the Chinese market, including competition from local firms and regulatory issues.