CHINA OPENS TWO INVESTIGATIONS INTO US TRADE PRACTICES

China has launched two investigations into US trade practices, opening a new front in the tense economic relationship between the world’s two largest economies just weeks before their leaders are due to meet in Beijing.

According to a spokesperson for China’s Ministry of Commerce, the first probe will examine whether US measures are disrupting global supply chains, while the second will focus on whether American policies are obstructing trade in so-called green products. The ministry did not define the category in detail.

Beijing said preliminary evidence suggests the US has adopted measures that specifically harm Chinese industry. In particular, it argued that American restrictions are preventing Chinese-made products, including green goods, from entering the US market, slowing the rollout of new energy products and limiting cooperation on green technologies.

The two investigations are expected to run over the next six months and will involve questionnaires, hearings and on-site reviews to assess the effects of US trade measures.

China said the probes are a direct response to two Section 301 investigations launched by the Trump administration, which are examining issues related to manufacturing overcapacity and forced labour regulations. China is among the countries targeted by both US investigations.

The timing is politically significant. The probes come ahead of a planned meeting between Chinese President Xi Jinping and US President Donald Trump on 14 and 15 May in Beijing, dates confirmed by White House Press Secretary Karoline Leavitt.

Xi and Trump previously met in October in an effort to stabilise trade tensions after a prolonged period of retaliatory tariff moves. The truce reached at that time largely rested on tariff levels imposed by Trump under the International Emergency Economic Powers Act, but those duties were later lifted after a Supreme Court ruling invalidated them.

Wendy Cutler, senior vice president at the Asia Society Policy Institute, said the latest move suggests China is entering the next phase of discussions with growing confidence. In a LinkedIn post, she said Beijing is effectively signalling that if Washington attempts to return to earlier IEEPA-level tariffs, China will respond with additional tariff action of its own. She also suggested that Chinese negotiators, emboldened by recent developments, are likely to press for more concessions when the leaders meet in May.

The twin investigations add another layer of uncertainty to an already fragile trade relationship, particularly for companies with supply chains exposed to green technology, industrial inputs and cross-border manufacturing flows.

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