【Text by Observer Net, Xiong Chaoran】The Trump administration has imposed arbitrary fees on ships related to China, and the Chinese side has taken a series of countermeasures, including announcing countermeasures against five U.S. subsidiaries of Hanwha Ocean Co., Ltd.

On October 20 local time, U.S. Trade Representative Jamieson Greer did not reflect on himself but instead "accused the victim first," stating in a statement that the recent "retaliatory actions" taken by China against private enterprises around the world were part of a broader "economic coercion" pattern, aiming to influence American politics and control global supply chains by preventing foreign companies from investing in the U.S. shipbuilding industry and other key sectors.

"The attempt to intimidate cannot stop the United States from rebuilding its shipbuilding base, nor can it prevent us from making an appropriate response to China's actions targeting key industrial areas to seek dominance," he declared with confidence.

Previously, the spokesperson for the Ministry of Commerce of China stated in response to questions regarding the implementation of U.S. restrictions under the Section 301 investigation on the shipbuilding industry and other sectors that the U.S. measures were a typical example of unilateralism and protectionism, seriously violating World Trade Organization rules, going against the principle of equality and mutual benefit under the China-U.S. Shipping Agreement, granting unfair competitive advantages to shipping and shipbuilding enterprises of relevant countries, constituting discriminatory practices against China's shipping and shipbuilding industries, and seriously harming the interests of China's relevant industries.

The spokesperson emphasized that to further safeguard the interests of China's relevant industries, the relevant Chinese authorities, according to regulations, will include enterprises that have assisted or supported the U.S. investigation activities in the countermeasure list, and launch investigations into the acts of U.S. and some countries and enterprises that endanger the safe development of China's shipping, shipbuilding and related industries. During the implementation of the investigation, the Chinese side will conduct law enforcement and investigations in accordance with the principles of openness, fairness, and justice, and fully protect the rights of all interested parties.

Photo: U.S. Trade Representative Jamieson Greer, Visual China

Bloomberg reported on the same day that the latest statement released by the Office of the U.S. Trade Representative represented the Trump administration's "warning" to China - not to sanction foreign companies that help the U.S. develop key industries.

The report stated that Greer's "warning" was the latest development in a series of long-standing maritime disputes between China and the U.S., which have profound impacts on the global economy because ships carry more than 80% of international trade, and China holds more than half of the global shipbuilding market.

Although the U.S. has the strongest navy in the world, its shipbuilding capacity is relatively limited. Therefore, the Trump administration tried to enhance the U.S. shipbuilding industry by attracting investments from South Korea, the world's second-largest shipbuilder.

However, the countermeasures announced by China on October 14 directly targeted this move. The Chinese government decided to include five U.S. subsidiaries of Hanwha Ocean Co., Ltd. in the countermeasure list and take the following countermeasures: Prohibiting organizations and individuals within China from conducting transactions, cooperation, and other activities with them.

On the same day, it was also the date when the U.S. began imposing port charges on Chinese-built vessels. In response, China also took self-defense measures and charged port fees on U.S. vessels.

Bloomberg pointed out that shipping is one of several points of contention in Sino-U.S. relations, and has recently caused anxiety among global investors. In addition, facing continuous encirclement and suppression from the U.S., China has also strengthened countermeasures such as restricting rare earth exports to safeguard national security interests.

On October 14, the Korean Central Daily quoted Professor Ju Jae-wu from Kyung Hee University as saying that China's inclusion of the Hanwha Philadelphia Shipyard in the sanctions list was a "double win," both hindering the Trump administration's plan to revitalize the shipbuilding industry and targeting Hanwha's defense products that use Chinese rare earth elements, becoming an important negotiation "chip" in China's hands.

Photo: Hanwha Ocean Shipyard

According to Yonhap News Agency, on the same day, the South Korean presidential office said that the South Korean government is communicating with China to minimize the losses that South Korean companies may suffer.

On October 17 local time, the U.S. State Department spokesperson continued to support the U.S. position regarding the Chinese sanctions against the U.S. subsidiaries of Hanwha Ocean, claiming that the act aims to disrupt U.S.-South Korea cooperation and is "coercing" the U.S.'s Asian allies.

According to Reuters and Yonhap News Agency, on October 17, the South Korean official stated that the Chinese sanctions could significantly affect the supply of equipment and materials for South Korean companies, threatening the ambitious shipbuilding cooperation plans between South Korea and the U.S. Previously, the South Korean government had pledged to invest 150 billion dollars to promote "Making American Shipbuilding Great Again" (MASGA) to support President Trump's efforts to revitalize the U.S. shipbuilding industry and surpass China.

"It will inevitably have an impact," said Seo Jong-gyun, head of the Defense Acquisition Program Administration, during a hearing at the National Assembly, stating that the decline of the U.S. shipbuilding industry and its supporting industries made it impossible for South Korean companies to obtain materials and components domestically in the U.S.

He pointed out, "I don't think we can produce all the materials and supplies for Hanwha's Philadelphia Shipyard in the U.S. Therefore, if you want to transport a large amount of goods from South Korea to the U.S., but face sanctions and various obstacles, I would say that this will ultimately affect MASGA."

On October 15, during a regular press conference, a foreign reporter asked whether South Korea was negotiating with China to reduce the impact of China's measures against South Korean shipbuilders, marine companies, and subsidiaries connected with the U.S. What is China's response? Additionally, according to South Korean media reports, South Korea stated that such sanctions might be related to the tension between China and the U.S., and what is China's comment on this?

Foreign Ministry Spokesperson Lin Jian responded that yesterday, the relevant Chinese authorities had already responded to the issue, and you can refer to it. We once again urge the U.S. side and related companies to respect the facts and multilateral trade and economic rules, abide by the principles of market economy and fair competition, correct the erroneous practices as soon as possible, and stop damaging China's interests.

This article is exclusive to Observer Net and may not be reprinted without permission.

Original: https://www.toutiao.com/article/7563566745265373746/

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