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January 19, 2018

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China condemns US accusations of unfair trading

Source: Agencies | 00:01 UTC+8 January 19, 2018 | Print Edition

CHINA yesterday criticized recent moves by the United States listing some Chinese trading areas as “notorious markets” for fake products and targeting Chinese telecoms equipment, saying Washington lacks objectivity in its approach.

Commerce Ministry spokesman Gao Feng told reporters the US Trade Representative lacked direct conclusive evidence and supporting data for listing three Chinese online commerce platforms and six physical bazaars within China as “notorious markets” engaging in commercial-scale “copyright piracy and trademark counterfeiting.”

“We have to question the objectivity and credibility of the relevant US department in issuing its report,” Gao said at a news conference.

“The Chinese government has always attached great importance to the protection of intellectual property, the results of which are obvious to all,” he said.

Among the online platforms listed by the USTR’s Notorious Markets this month was e-commerce giant Alibaba’s online marketplace Taobao. Physical outlets included Beijing’s famed Silk and Hongqiao markets popular with tourists.

Michael Evans, Alibaba’s group president, said the company has worked above and beyond on each of the list’s concerns to protect brands and copyright holders.

“In light of all this, it’s clear that no matter how much action we take and progress we make, the USTR is not actually interested in seeing tangible results,” Evans said, adding that the company had “no other choice but to conclude that this is a deeply flawed, biased and politicized process.”

At the news conference, Gao also criticized a US House bill introduced on January 9 that would prohibit government purchases of telecoms equipment from Huawei Technologies Company and ZTE Corporation.

He said the bill would harm US-China cooperation in telecommunications and shake the confidence of Chinese enterprises in the US.

Gao said the US should treat Chinese companies and products with an objective and fair attitude so US customers can enjoy the benefits of Chinese products.

“Mutual benefits weigh more than differences in the Sino-US economic and trade ties,” Gao said. “We hope that trade frictions do not upgrade, but will also take resolute actions to protect Chinese rights and interests.”

Huawei’s US business suffered a setback when a congressional panel recommended in 2013 that phone carriers avoid doing business with it or ZTE. China rejected the move as an effort to keep Chinese companies out of the US market.

Huawei, founded in 1987, is the world’s No. 3 phone maker and first Chinese brand to break into the top ranks of global technology suppliers.

Meanwhile on the issue of so-called forced transfer of intellectual property and proprietary technology, foreign ministry spokesman Lu Kang said China had no law mandating such practices.

“Such cases might occur in some commercial cooperation, but that is purely the market behavior between the enterprises,” Lu said yesterday.

“Fair exchange is no robbery. There is no interference from the government,” he said, adding that China would “firmly defend its legitimate rights and interests.”

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