China has called on the United States to fully dismantle its reciprocal tariffs, urging Washington to abandon what it described as “wrong practices” in favor of a path grounded in mutual respect.

The demand follows the Biden administration’s announcement of limited tariff exemptions on certain consumer electronics and semiconductor equipment—measures Beijing dismissed as merely a “small step.”

“We urge the U.S. to… take a big step to correct its mistakes, completely cancel the wrong practice of ‘reciprocal tariffs’ and return to the right path of mutual respect,” a spokesperson for China’s commerce ministry said in a statement released Sunday.

The two global superpowers have been locked in a prolonged tariff war since former President Donald Trump introduced sweeping global duties, with tariffs on some Chinese goods climbing as high as 145 percent. China retaliated with import tariffs of up to 125 percent, which came into effect on Saturday.

Although Washington softened its stance slightly on Friday—excluding smartphones, laptops, memory chips, and other key tech goods from the levies—Beijing noted it was still assessing the implications of the move. The exemptions are expected to benefit major U.S. firms such as Apple, Dell, and Nvidia, with analysts estimating the goods account for over 20 percent of affected Chinese imports.

Nonetheless, Trump has hinted at fresh, industry-specific tariffs targeting semiconductors. A definitive announcement is expected Monday.

China Pushes Back

Beijing has responded by doubling down on its critique of U.S. trade policies, positioning itself as a stable partner amid what it sees as Washington’s erratic approach.

“The reciprocal tariffs have not only failed to solve any of the United States’ own problems but have seriously undermined the global economic and trade order,” the commerce ministry said.

Chinese Commerce Minister Wang Wentao also warned of the broader implications for developing nations, stating that Washington’s tariff policy could “inflict serious harm” during a call with the head of the World Trade Organization on Friday.

Xi’s Diplomatic Offensive

The renewed tensions come as President Xi Jinping embarks on a five-day diplomatic tour of Southeast Asia, with planned visits to Vietnam, Malaysia, and Cambodia. The trip is seen as part of Beijing’s broader effort to fortify economic ties in the region and court countries wary of Washington’s protectionist stance.

In a recent meeting with the Spanish Prime Minister, Xi urged China and Europe to “jointly resist unilateral bullying practices,” in a thinly veiled jab at U.S. policies.

Despite the heated rhetoric, Beijing reiterated that it remains open to dialogue. However, the White House signaled that the next move rests with China. Officials say President Trump is “optimistic” about the possibility of a deal but expect Beijing to make the first overture.

As global markets remain jittery, all eyes are now on Monday’s potential announcement from Trump and whether the escalating trade spat will give way to negotiation—or intensify further.

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