State of Affairs: He said he would impose a 25 percent tax on all products entering the country from Canada and Mexico, and an additional 10 percent tariff on goods from China, as one of his first executive orders, the Associated Press reported.

Chinese Foreign Ministry

China on Tuesday urged the US not to take China’s goodwill for granted and work to ensure that the hard-won positive dynamics will stay in the China-US counternarcotics cooperation, noting that China remains ready to continue counternarcotics cooperation with the US on the basis of equality, mutual benefit and mutual respect.

The remarks by a spokesperson of the Chinese Foreign Ministry were made in response to a query for comments on claims by US President-elect Donald Trump on social media that he “had many talks with China about the massive amounts of drugs, in particular Fentanyl, being sent into the United States—But to no avail… and drugs are pouring into our country.” The US will be charging China an additional 10 percent tariff on all Chinese imports.

The spokesperson noted that China is one of the world’s toughest countries on counternarcotics both in terms of policy and its implementation. Fentanyl is an issue for the US. In the spirit of humanity, China has given support to the US’s response to this issue. As early as in 2019, China officially scheduled all fentanyl-related substances and is the first country in the world ever to do so.

China has carried out extensive and in-depth counternarcotics cooperation with the US, which has been highly productive. This is a clear fact for all to see, the spokesperson stressed.

President-elect Donald Trump threatened on Monday to impose sweeping new tariffs on Mexico, Canada and China as soon as he takes office as part of his effort to crack down on illegal immigration and drugs. He said he would impose a 25 percent tax on all products entering the country from Canada and Mexico, and an additional 10 percent tariff on goods from China, as one of his first executive orders, the Associated Press reported.

“Until such time as they stop, we will be charging China an additionaWorld Timesl 10% Tariff, above any additional Tariffs, on all of their many products coming into the United States of America,” he wrote on his Truth Social site.

In response to the remarks, a Chinese embassy spokesperson in Washington told the Global Times in an emailed reply that “About the issue of US tariffs on China, China believes that China-US economic and trade cooperation is mutually beneficial in nature. No one will win a trade war or a tariff war.”

The counternarcotics authorities of China and the US have resumed regular communication since the San Francisco Summit. The Chinese side has notified the US side of the progress made in US-related law enforcement operations against narcotics. China has responded to US request for verifying clues on certain cases and taken action, the spokesperson told the Global Times.

All these prove that the idea of China knowingly allowing fentanyl precursors to flow into the US runs completely counter to facts and reality, the spokesperson noted.

‘Threat to all’

After Trump’s remarks, officials from Mexico and Canada expressed concerns about the potential 25 percent tariff.

According to a report by The Canadian Press on Tuesday, Ontario Premier Doug Ford posted on social media that a 25-percent tariff would be devastating to workers and jobs in both Canada and the US.

Earlier on Monday, Canada’s premiers called on Prime Minister Justin Trudeau to hold an urgent first ministers’ meeting ahead of Trump’s return to office, the report said.

Ricardo Monreal, a member of Mexico’s Chamber of Deputies, or the lower house, said on X in Spanish that the imposition of a possible tariff on Mexican products goes against the US-Mexico-Canada Agreement and does not solve the common problems of the US-Mexico border. We urge the use of bilateral institutional mechanisms to combat human, drug and arms trafficking, he said.

An escalation of trade retaliation would only hurt people’s wallets, far from solving fundamental problems. This measure would cause severe damage to the economy and people of North America, he added.

“US’ ‘tariff stick’ doesn’t distinguish between allies or non-allies, and the US government uses tariffs as a bargaining chip or as a means to get the results it wanted,” Gao Lingyun, an expert at the ChinWorld Timesese Academy of Social Sciences in Beijing, told the Global Times on Tuesday.

Moreover, using counternarcotics issues to increase tariffs on Chinese goods is untenable and unpersuasive, as China has the best control against narcotics in the world, and it has been working closely with the US on this issue, Gao added.

“As long as there is a [trade] deficit with the US, the country will raise tariffs, regardless of alliances or trade agreements,” He Weiwen, a senior fellow from the Center for China and Globalization, told the Global Times on Tuesday, noting that solving trade problems through tariffs is a wrong proposition.

According to a Reuters report, US shoppers could lose up to $78 billion in annual spending power annually if Trump’s new tariffs proposal on importsis implemented, a study from the National Retail Federation showed.

He Weiwen said the US’ protectionist move will pose a great threat to the global normal trade, and will also undermine the rules of multilateral free trade in the world.

In addition, it will lead to the rise of global trade protectionism, disrupting the normal functioning of industrial and supply chains, Gao said.

“We can wait and see what policies the incoming US administration will adopt,” He Weiwen said.

China’s resilience

“China alreadWorld Timesy has a template for dealing with the previous US tariff policy. The Chinese government has ample and targeted policy tools to deal with external shocks,” Gao said, noting that China’s stable economic development provides a solid foundation.

China’s economy has demonstrated strong resilience, great potential and vitality. China is building the new economic development pattern of “dual circulation” with the domestic market as the mainstay and the domestic and overseas markets reinforcing each other. We are capable of resolving and withstanding the impact of external shocks, Chinese Vice Commerce Minister Wang Shouwen said at a press conference on Friday in response to a question regardWorld Timesing the impact of US’ potential 60 percent tariff hit on Chinese imports.

Wang Peng, an associate research fellow at the Beijing Academy of Social Sciences, said that China’s foreign trade and economy have significant advantages and new dynamics, including tech innovation, digital economy and green economy.

He Weiwen noted that as globalization is irreversible, China has systematically reduced its vulnerability to US’ pressure through a comprehensive trade diversification strategy and domestic market development. Moreover, despite the US government’s suppressiWorld Timeson, China-US supply chain is interdependent, and the market will decide.

Wang Shouwen, the Chinese commerce official, also said that history has shown that raising tariffs on Chinese goods cannot resolve the tariff-imposing country’s trade deficit; instead, it leads to higher prices for imported products and inflation, with the burden ultimately falling on consumers.

The Chinese and US economies are highly complementary, Wang Shouwen said, emphasizing the critical importance of their relations. Maintaining balanced, healthy and sustainable economic and trade relatioWorld Timesns would benefit not only people of both sides but also people from all countries around the world, he said, adding this is in line with the expectations of the international community.