China Calls on the U.S. to Halt Wrongdoings and Vows to Defend Its Interests

Following Washington's announcement of a new chip investigation, China has urged the U.S. to stop its wrongdoings and pledged to defend its interests.

The Ministry of Commerce of China (MOFCOM) stated that the U.S. has initiated a Section 301 investigation into the Chinese semiconductor industry, calling on the U.S. to correct its wrongs and promising to resolutely defend China's rights and interests.

U.S. Trade Representative (USTR) Katherine Tai announced on Monday that a Section 301 investigation has been launched regarding “China's actions, policies, and practices targeting domination of the semiconductor industry.”

In response to the USTR's announcement, a MOFCOM spokesperson expressed China's strong dissatisfaction with the situation and vehemently opposed it, noting that the U.S. Section 301 investigations exhibit clear unilateral and protectionist tendencies. The spokesperson stated that previous Section 301 tariffs had been determined to violate WTO rules, with many WTO members opposing them, and that China has made numerous strong objections to the U.S.

The U.S. has initiated a new Section 301 investigation into China's chip industry policies, aiming to pressure China for domestic political reasons. The spokesperson commented, "This will disrupt and distort the global semiconductor industry and supply chains, while also harming the interests of American businesses and consumers."

The spokesperson also pointed out that the U.S. CHIPS and Science Act provides significant subsidies, with U.S. companies making up nearly half of the global chip market, yet the U.S. accuses China of alleged market-distorting practices and exaggerates the industry threat from China.