China says tariff threat ‘justified’

This photo taken on August 2, 2018 shows workers at a swimwear factory in Yinglin town in Jinjiang, in China's eastern Fujian Province. China's garments industry is expected to be affected with the escalating US-China trade war. (AFP photo)
Updated 05 August 2018
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China says tariff threat ‘justified’

  • China and the US have been embroiled for months in a trade conflict that has threatened to hurt consumers in both countries
  • Washington claims that China’s export economy benefits from unfair policies and subsidies, as well as theft of US technological know-how

SINGAPORE: China’s foreign minister said on Saturday that his country’s threat to impose retaliatory tariffs on $60 billion of US goods in an escalating trade dispute was “fully justified.”

Beijing threatened on Friday to bring in the levies on products ranging from beef to condoms, after US President Donald Trump’s administration upped the ante in its plans for additional tariffs on Chinese goods worth $200 billion.

Washington suggested the rate on the proposed extra tariffs could be increased from 10 to 25 percent.

China and the US have been embroiled for months in a trade conflict that has threatened to hurt consumers in both countries.

Washington claims that China’s export economy benefits from unfair policies and subsidies, as well as theft of US technological know-how.

Speaking on the sidelines of a security forum in Singapore, Foreign Minister Wang Yi said China’s threat of retaliatory tariffs was “fully justified and necessary.”

“These are measures taken out of the consideration for upholding the interests of the Chinese people,” he said, speaking through a translator.

He said the move was also aimed at upholding the “global free trade regime.” 

Wang also hit back at comments by top White House economic adviser Larry Kudlow, who ridiculed China’s tariff threat as “weak” and said the world’s second-largest economy was in significant “trouble.”

“As to whether China’s economy is doing well or not, I think it is all too clear to the whole international community,” Wang said.

In early July, the US imposed 25 percent tariffs on $34 billion of Chinese goods, with another $16 billion to be targeted in coming weeks, sparking retaliatory measures from China. Days later, Washington unveiled a list of another $200 billion in Chinese goods.

But Trump raised the stakes this week with a threat to lift the tariff rate.

China has said that new duties will be applied only if Washington pulls the trigger on its new tariffs.

Decoder

China-US Trade War

In early July, the US imposed 25 percent tariffs on $34 billion of Chinese goods, with another $16 billion to be targeted in coming weeks, sparking retaliatory measures from China. Days later, Washington unveiled a list of another $200 billion in Chinese goods that would be hit with 10 percent import duties.


GITEX Tech showcases Saudi Arabia’s regional innovation drive

Updated 15 October 2018
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GITEX Tech showcases Saudi Arabia’s regional innovation drive

DUBAI: Dubai’s GITEX Technology week showcased the region’s ability to take the lead in innovation technology, with Saudi Arabia on its way to take the driver’s seat, according to consulting firm Accenture’s country managing director in Saudi Arabia.
“Saudi Arabia will be a leader in supporting innovation and the development of new technology in the region,” Khaled Al-Dhaher told Arab News.
“I think we (Arab countries) can always complement each other in the region to make sure we have the best innovation that is relevant for us and focused on the needs of our markets,” he added.
Among the main drivers behind the Kingdom’s surge into innovation and incubation is the Center of Initiatives at Prince Mohammed bin Salman bin Abdul Aziz Foundation (Misk), which is an exclusive partner at GITEX Future Stars 2018.
Misk Innovation showcased 20 Saudi-based start-ups and incubators, ranging from 3D printing technology (SHAKL) to e-commerce (Zid) to online grocery shopping (ZADFresh).
Another prominent player from the Kingdom was the Badir Program, which helps to sustain and develop pioneering environments within the Kingdom and stays in line with following the crown prince’s Vision 2030 plan.
The plan, unveiled in 2016, is a comprehensive blueprint for the future, laying out a strategy and clear targets to diversify Saudi Arabia’s economy, and develop public service sectors such as health, education, infrastructure, recreation and tourism.
“We see a big support toward start-ups in terms of seed funding, arranging funding rounds, investment funding rounds, which actually is very important to accelerate the growth of these start-ups,” Badir Program’s CEO Nawaf Al-Sahhaf told Arab News, adding: “They (start-ups) created more than 2,000 jobs in the last two years.”
The 38th annual exhibition, which kicked off on Sunday, centered around the rise of smart cities. Dubai’s government featured high-tech stands promoting the emirate’s ruler Sheikh Mohammed bin Rashid’s vision of a totally smart Dubai.
While Dubai is ahead of Saudi Arabia in this respect, the latter is not far behind.
“Saudi Arabia is building new cities now, and one of them is NEOM. Smart cities needs smart solutions and smart products, so Saudi Arabia is a big supporter of entrepreneurs and the private sector in order to come up with these smart solutions,” Al-Sahhaf said.
“Saudi Arabia is moving in this [Smart] direction and we are in good hands,” he added.
The Saudi Technology Development and Investment Company, Taqania, was also featured at the exhibition. Owned by the Kingdom’s Public Investment Fund, Taqania is one of Saudi Arabia’s main proponents in a non-oil dependent Kingdom aligned with Vision 2030, and invests in technology that contributes to the country’s economic diversification.
The exhibition is split among several categories including Gulf Comms & Mobility, Global Solution Providers, Smart Workplace & Smart Homes, Value-Added Distributors, Printing & Automation, Consumer Tech, Enterprise Software, Network & Security, Future Tech and IOT Big Cloud Data.
GITEX Technology week runs from Oct. 14 to 18, with GITEX Future Stars taking place from Oct. 14 to 17.