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Geneva — China filed a new complaint with the World Trade Organisation (WTO)  after earlier telling the world trade body on Wednesday that US tariffs on Beijing are “reckless” and threaten to further destabilise global trade.

“The situation has dangerously escalated. ...As one of the affected members, China expresses grave concern and firm opposition to this reckless move,” China said in a statement to the WTO.

US President Donald Trump’s tariffs on dozens of countries took effect on Wednesday, including a huge 104% duties on Chinese goods, escalating a global trade war. China responded by raising its tariffs on US imports to 84% from 34%, while the EU will launch its first countermeasures, mostly consisting of 25% duties, next week.

Trump says the tariffs are necessary to end US trade deficits with many of its trading partners.

“While China opposes trade wars, it will firmly defend its legitimate interests,” it said in a statement to WTO members during a meeting on trade in goods.

On Wednesday, China accused the US of violating the WTO’s rules and said it was undermining the multilateral trading system.

It encouraged the WTO secretariat to study the impact of tariffs on global trade and report its findings to members.

“Reciprocal tariff is not — and will never be — a cure for trade imbalances. Instead, they will backfire, harming the US itself,” China’s statement to the WTO said.

A sell-off in global markets accelerated after China announced its new round of tariffs, with US stock index futures moving sharply lower.

US treasury secretary Scott Bessent said on Wednesday that China’s latest move was unfortunate and a losing proposition for Beijing.

“I think it’s unfortunate that the Chinese actually don’t want to come and negotiate, because they are the worst offenders in the international trading system,” Bessent said in an interview with Fox Business Network.

Trump’s sweeping tariffs have shaken a decades-old global trading order, raised fears of a global recession and wiped trillions of dollars off the market value of major firms.

A WTO official said China’s new complaint was an addition to Beijing’s previous request for consultations with the US filed on April 4.

Bilateral consultations are the first stage of a formal dispute settlement. If no solution is found within 60 days, China could request adjudication by the Geneva-based organisation’s Dispute Settlement Body.

Reuters 

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