China-US exchange of threats intensifies

Source: PressTV
http://www.presstv.ir/detail.aspx?id=117848§ionid=351020404


Verbal threats between China and the US intensify as Beijing reiterates that it would not step back from its policies.

The Chinese Foreign Ministry reacted strongly to US President Barack Obama's threat of taking a tougher stance on Beijing to make sure it opens its markets to trade with Washington.

"Wrongful accusations and pressure will not help solve the issue," Foreign Ministry Spokesman Ma Zhaoxu said on Thursday.

Obama once again criticized China's currency policies on Wednesday, reiterating that his administration was pushing China to enforce trade rules and further open its markets.

In response, Zhaoxu emphasized that the yuan was at a reasonable level and China did not deliberately pursue a trade surplus with the United States.

US manufacturers have complained for years that China's currency policies give local companies an unfair price advantage. China says its exchange rate policy is an internal matter.

Tensions between the two biggest economies of the world have intensified after the US revealed a $6.4 billion package of arms to Taiwan, a country that China regards as a threat.

Later, China threatened to impose sanctions on US arms companies that would participate in the US-planned sale of weapons to Taiwan.

Zhaoxu also noted that the government's decision to impose sanctions on US weapon makers was an appropriate measure.

A number of other issues such as Obama's plan to meet with the exiled Tibetan leader, the Dalai Lama, and Google's complaint of being targeted by cyber attacks in China have strained ties between the two major powers.