China has challenged U.S. claims about trade imbalances at a key World Trade Organization meeting, calling Washington's 'reciprocal tariffs' approach a 'one-sided, misleading narrative' that risks destabilizing global commerce. The remarks came during Friday's Council for Trade in Services session in Geneva, where Beijing spotlighted America's $300 billion service trade surplus in 2024 as evidence of deeper economic complexities.
'The U.S. narrative focuses narrowly on goods while ignoring its dominant position in high-value services like R&D and branding,' China's delegation stated. They emphasized that America benefits disproportionately from global value chains through intellectual property and advanced technologies.
The exchange follows recent progress in bilateral trade talks, with China acknowledging 'consensus through equal consultation' while insisting all agreements must align with WTO rules. Officials warned against 'double standards' that let developed economies prosper while limiting opportunities for emerging markets.
Over 20 WTO members – including the EU, Canada, Brazil, and Pakistan – echoed calls for multilateral solutions. 'Services represent the future of global trade,' noted one European delegate, highlighting the sector's growing role in economic recovery and supply chain resilience.
As tensions persist, China proposed accelerating WTO reforms to create 'an open, stable trading system.' The move signals Beijing's push to position itself as a defender of global trade norms amid shifting power dynamics.
