The ongoing trade conflict between the US and China deepened this week, fueled by US Vice-President JD Vance's controversial characterization of Chinese lenders as "peasants." In a Fox News interview, Vance defended President Trump's tariffs by stating that the US borrows money from these "Chinese peasants" to acquire their manufactured products. This prompted a sharp response from Beijing, which labeled Vance's comments as "ignorant and impolite." The implications of Vance's remarks come as the US has initiated significant tariffs, with President Trump threatening to impose an additional 50% tax on Chinese imports if countermeasures are not rescinded. Economists warn that such policies could disrupt supply chains and lead to rising consumer prices, raising fears of a potential recession. The tensions have sparked backlash on social media, with calls for Vance to be barred from visiting China.
Beijing Rebukes Vance Over "Chinese Peasants" Statement
Beijing Rebukes Vance Over "Chinese Peasants" Statement
China criticizes US Vice-President JD Vance's remarks on financing from "Chinese peasants" amid escalating trade tensions.
China has called US Vice-President JD Vance "ignorant and impolite" for saying that America had been borrowing money from "Chinese peasants." The sharp rhetoric comes as US President Donald Trump's tariffs fuel trade tensions between the world's two largest economies. Vance defended the tariffs in an interview on Fox News Thursday and said, "We borrow money from Chinese peasants to buy the things those Chinese peasants manufacture." China is one of the world's largest holders of US Treasury bonds.
China's foreign ministry spokesperson Lin Jian responded in a press briefing Tuesday, saying, "It is surprising and sad to hear such ignorant and impolite words from this vice president." On Monday, Trump gave China until Tuesday to scrap its 34% countertariff or face an additional 50% tax on goods imported into the US. If Trump acts on his threat, US companies could face a total rate of 104% on Chinese imports - as it comes on top of 20% tariffs already put in place in March and the 34% announced last week.
China has said it will "fight to the end" as it called Trump's moves "bullying." "China's position on China-US economic and trade relations has been made very clear," Lin said on Tuesday. Vance's comments caused a stir among Chinese social media users, some of whom have called for him to be banned from entering China. "As a key figure in the US government, it is really shameful for Vance to say such things," one Weibo user wrote. "Isn't his memoir called 'Hillbilly Elegy'?" wrote another user, referencing Vance's book about his rural upbringing.
Trump and his allies have long argued that his tariff policy will boost the US economy and protect jobs. But economists have warned that this would cause major disruptions to international supply chains, push up prices for consumers, and bode disaster for all trade. In the wake of the tariffs announcement, financial institutions have warned of heightened risks of a recession, both in the US and globally, as Asian stocks see their worst drop in decades. The conflict between China and the US appears to be escalating, with no signs of either side backing down from their positions on tariffs.
China's foreign ministry spokesperson Lin Jian responded in a press briefing Tuesday, saying, "It is surprising and sad to hear such ignorant and impolite words from this vice president." On Monday, Trump gave China until Tuesday to scrap its 34% countertariff or face an additional 50% tax on goods imported into the US. If Trump acts on his threat, US companies could face a total rate of 104% on Chinese imports - as it comes on top of 20% tariffs already put in place in March and the 34% announced last week.
China has said it will "fight to the end" as it called Trump's moves "bullying." "China's position on China-US economic and trade relations has been made very clear," Lin said on Tuesday. Vance's comments caused a stir among Chinese social media users, some of whom have called for him to be banned from entering China. "As a key figure in the US government, it is really shameful for Vance to say such things," one Weibo user wrote. "Isn't his memoir called 'Hillbilly Elegy'?" wrote another user, referencing Vance's book about his rural upbringing.
Trump and his allies have long argued that his tariff policy will boost the US economy and protect jobs. But economists have warned that this would cause major disruptions to international supply chains, push up prices for consumers, and bode disaster for all trade. In the wake of the tariffs announcement, financial institutions have warned of heightened risks of a recession, both in the US and globally, as Asian stocks see their worst drop in decades. The conflict between China and the US appears to be escalating, with no signs of either side backing down from their positions on tariffs.
