The U.S should not act ’emotionally’ and avert a trade war, Chinese Premier Li Keqiang said, hoping to reach an agreement with Washington over the mounting USD 375 billion trade deficit, a core concern of President Donald Trump.
Trump recently announced hefty trade tariffs on import of steel and aluminium, targeting strategic rival China among other countries.
Trump’s move to impose of 25 per cent on foreign steel and 10 per cent on aluminium also gave rise to speculation of a possible trade war between the U.S and China.
“No one will emerge a winner from a trade war”, Li said.
China has the lion’s share of over USD 580 billion in bilateral trade with the U.S. The trade deficit for the U.S amounted to over USD 375 billion last year.
Since he took over power, Trump has been pressuring China to step-up measures to reduce trade deficit and expand U.S exports and investments.
China signed major trade deals worth about USD 250 billion, including buying 300 planes from Boeing during Trump’s visit last year.
“What we hope is for us to act rationally rather than being led by emotions. We don’t want to see a trade war”, Li said.