China charged the United States of clinging to “extravagant expectations” for a trade deal, highlighting the gulf between both sides as US action against technology giant of China, Huawei started striking the global tech sector.
Connecting to bilateral tension, the US military said one of its ships equipped with weapons near the controversial Scarborough Shoal professed by China in the South China Sea on Sunday, the recent in a sequence of “ freedom of navigation operations” for inflaming Beijing.
Alphabet Inc’s Google has also hung business with China’s Huawei Technologies Co Ltd which requires the shift of hardware, software and technical services, except those publicly available open source licensing, a familiar source with the matter told media on Monday, in a blow to the company that the US government has attempted to find to blacklist around the world.
Shares in European chip makers Infineon Technologies, STMicroelectronics and AMS fell sharply on Monday amid concerns the Huawei suppliers may halt shipments to the Chinese firms due to the declining of it last week.
The inclusion by the Trump administration for Huawei to a trade rescinding immediately enforced limitations which will turn it difficult extremely for it to do trading with the US counterparts.
In an interview with media channel recorded last week and aired on Sunday night, the US President said the United States and China “had a very strong deal, we had a good deal, and they changed it. And I said ‘that’s OK, we’re going to tariff their products ”.
In Beijing, Chinese Foreign Ministry representative Lu Kang said he did not know what the US President was discussing.
He told a briefing to media, “ we don’t know what this agreement is the United States is talking about. Perhaps the United States has an agreement they all along had extravagant expectations for, but it’s certainly not a so-called agreement that China agreed to”.
The basis of the last round of China-US discussions did not reach an agreement is as the United States attempted “ to achieve unreasonable interests through extreme pressure,” said Lu. “From the beginning, this would not work”.
He also added, “ I would like to reiterate once again that China-US economic and trade consultation can only follow the correct track of mutual respect, equality, and mutual benefit for there to be the hope of success.”