Trump Administration Is Said to Open Broad Inquiry Into China’s Trade Practices
Following the investigation, which could be completed in as little as a few months, the United States could impose steep tariffs
on Chinese imports, rescind licenses for Chinese companies to do business in the United States, or take other measures.
WASHINGTON — The White House is preparing to open a broad investigation into China’s trade practices, according to people with knowledge of the Trump administration’s plans, amid growing
worries in the United States over a Chinese government-led effort to make the country a global leader in microchips, electric cars and other crucial technologies of the future.
The two sides met on July 19 to produce a series of trade deals
that could be portrayed as an “early harvest” in the three months following Mr. Trump’s meeting with President Xi Jinping of China last spring at Mar-a-Lago, Trump administration officials and trade policy advisers said.
Still, China’s industrial ambitions — and growing frustration among American companies
doing business there — have become harder for United States officials to ignore.
American companies have tended to supply the Chinese market using factories and staff in China, instead of exports from the United States.
China’s export sector still contributes heavily to its economy growth despite Beijing’s efforts to diversify its economy,
and China represents a lucrative market for American automakers, technology companies like Apple, farmers and many others.
But their profits from the Chinese market are large enough
that many corporate executives have been loath to cooperate with United States trade officials, for fear that Chinese government ministries may retaliate against them.
