The United States' imposition of reciprocal tariffs has drawn global attention. Han Zhiqiang, Ambassador of the People's Republic of China to Thailand, shared his views on the matter.
Is a trade surplus a crime?
International trade is based on each country's resources and comparative advantages, with voluntary exchange and mutual benefit at its core.
American companies chose Thailand as a base to produce hard drives and then sell them back to the United States because Thailand has a cost advantage.
If one argues that Thailand has a trade surplus with the United States and deems that Thailand is engaging in unfair trade and should be subject to tariffs, then what of the United States' trade surplus in services, which amounted to an enormous US$ 295.2 billion in 2024? Does that make the United States unfair to its global trading partners? Should the world retaliate against the United States?
The US's reciprocal tariffs are inconsistent with the general principles of economics. The division of labour and free trade among nations are the foundations of global economic development.
The United States has in fact been the greatest beneficiary of the global trading system. American consumers enjoy high-quality, cost-effective products from around the world, while the US retains advantages in high-value sectors such as finance and technology. Ngozi Okonjo-Iweala, director-general of the World Trade Organisation (WTO), once wrote that "the United States is the biggest winner in global trade."
Tariffs as coercion
The US uses tariffs as a weapon to pressure its trade partners to the extreme and seek unilateral gain.
In essence, this is political power overpowering economics and trade, amounting to unjustified unilateral pressure on trade partners. There are over 190 countries in the world -- imagine if every country put itself first and relied on its superior power status.
The world would regress into a jungle ruled by might. Smaller and weaker countries would suffer, and the international order would be severely shaken.
By igniting a trade war, the United States has disrupted global supply chains and pushed the world economy towards severe recession, drawing strong condemnation from many nations.
Malaysian Prime Minister Anwar Ibrahim urged Asean nations not to remain complacent.
Singaporean Prime Minister Lawrence Wong warned the US's actions are pushing the world into a new era of arbitrary power, protectionism, and danger.
European Commission President Ursula von der Leyen said the US's retaliatory tariff policy would have severe consequences on the global economy and harm consumers worldwide. Canadian Prime Minister Mark Carney described it as "a tragedy of global trade."
How will China respond?
The essence of China-US economic and trade relations lies in mutual benefit. Both countries are major trading partners in goods, services, and investment. Maintaining the stability and sustainable development of economic and trade relations between the two countries is not only in the interests of China and the US but also vital for global economic growth.
The facts prove that when China and the US cooperate, both benefit. But when they clash, both suffer. There are no winners in a trade war, and protectionism is not the solution. The success of China and the US is an opportunity for each other, not a threat.
China does not wish to engage in a trade war, but if forced to face unreasonable tariffs, it must respond decisively. China has taken robust countermeasures to defend its legitimate rights and the rules of global free trade, as well as fairness and justice for humanity.
It was the United States that started the trade war, and in the end, it has harmed both others and itself. American consumers bear the brunt of the consequences.
Research by the Peterson Institute for International Economics (PIIE) shows that over 90% of the tariff costs ultimately fall on importers, downstream businesses, and consumers in the United States.
The rollercoaster-like volatility of US stock and bond markets recently reflects this reality.
There is an old Chinese saying: "One lifts a rock only to drop it on one's own foot."
I believe the US's misuse of tariffs will not only draw opposition from countries around the world but also from the American people themselves, who are wise and discerning.
China–Thailand trade ties
China and Thailand are geographically connected and share a common future. We are important trading partners in goods and in industrial chains.
Amid global economic turmoil, China and Thailand should work together to uphold free trade and openness, pursue mutually beneficial cooperation, promote bilateral trade, and enhance connectivity in supply chains.
At the same time, we should safeguard the global trade order and make use of platforms like China–Asean cooperation mechanisms, the WTO, and other forums to urge all nations to adhere to principles of non-discrimination, openness, and peaceful coexistence -- thereby jointly protecting and creating an open international cooperative environment.
China will continue to expand its opening-up efforts and share development opportunities with countries around the world, including Thailand.
With a population of 1.4 billion and a consumer market worth nearly US$7 trillion, China welcomes more high-quality Thai products into its market.
China will encourage local governments, industry bodies, and businesses from both countries to deepen ties.
We will also support Chinese companies in Thailand to fully leverage the local industrial chain, work with Thai SMEs for joint development, and contribute to the development of Thai industry -- supporting Thailand's transition to a digital and green economy.
China stands ready to join hands with Thailand to become a model of mutually beneficial economic and trade cooperation, increase stability in an uncertain global context, and strengthen confidence in global economic growth.