INSUBCONTINENT EXCLUSIVE:
China is well prepared to handle any negative effects from its trade dispute with the United States, the commerce ministry said on Thursday,
adding that Beijing's tariff hikes on US imports will not have a big impact overall on its domestic industries.It would be a
miscalculation by the United States if its intention is to contain China's rise, ministry spokesman Gao Feng said at a regular media
briefing in Beijing."If the US attempts to use protectionist trade policies to contain China's development and force China to make
concessions even at the costs of companies' interests, it has taken a miscalculated step," Gao said.In the latest escalations in the
widening trade row, the US said this week it had banned American companies from selling parts to Chinese telecom equipment maker ZTE for
seven years, while China on Tuesday announced hefty anti-dumping tariffs on imports of US sorghum and measures on synthetic rubber imports
from the US, EU and Singapore on Thursday."We are capable of resolving the challenges created by China-US trade frictions," said
Gao.Responding to a Reuters question, Gao said Beijing hopes Washington will not underestimate China's resolve to fight back."We will
relentlessly fight back," he said, adding that China will take any necessary measures at any time in response to the US move against
ZTE.Most analysts believe the two sides will eventually reach a compromise and avoid a full-blown trade war
But so far, China and the US have held no formal trade talks, Gao said.On April 2, China slapped additional import taxes on 128 US products
including frozen pork and wine, in response to US duties on imports of aluminium and steel.Two days later, China warned it was considering
increasing duties on an additional 106 US imports, hitting back at the US's plan to levy duties on $50 billion of Chinese goods following
a months-long intellectual property probe.A full-scale trade war between the world's two economic superpowers would hurt both Chinese and
US exports and have a negative impact on growth in the two countries, as well as probably lead to collateral damage for other countries.The
global economy will expand this year at its fastest pace since 2010, but trade protectionism could quickly slow it down, the latest Reuters
polls of over 500 economists worldwide suggest.China's economy grew at a slightly faster-than-expected pace of 6.8 percent in the first
But a surprise move by China's central bank to cut the amount of cash that lenders must keep in reserves on the same day rattled investors
who took it as a sign Beijing is worried about economic growth momentum.Earlier on Thursday, China's foreign exchange regulator said that
any potential impact on the nation's cross-border capital flows stemming from Sino-US trade frictions can be controlled, and vowed to
been edited by staff and is auto-generated from a syndicated feed.)
