China has signalled it will retaliate against trade barriers introduced by the US and the EU as it launched an anti-dumping probe into chemical imports.
The Ministry of Commerce announced on Sunday that it is probing imports of polyoxymethylene copolymer, a thermoplastic widely used in the consumer electronics and automotive industries, from the EU, the US, Japan and Taiwan.
Beijing’s move suggests it will take tit-for-tat action against foreign trade barriers, but the narrow investigation into chemicals also highlights the limits on its ability to respond, given the huge trade surpluses it runs with the US and EU.
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