China vows to seek tariff cuts with US while decrying its ‘malicious’ trade acts

**Beijing has vowed to pursue tariff cuts and “win-win” cooperation with Washington, even as it imposes fresh restrictions on dozens of American firms.** The dual-track approach underscores how cooperation and confrontation now run in parallel between the world’s two largest economies. A Chinese commerce ministry spokesman confirmed both sides will continue discussing reciprocal tariff reductions within a newly established trade board, while encouraging cooperation in aircraft and agricultural products. The diplomatic overture follows a proposal by China’s ambassador to the US to increase the limit on tariff-free goods tenfold, from US$30 billion to US$300 billion.</p><p class="summary-lead">**However, these cooperative signals clash with persistent friction, as Beijing justified adding 10 American firms to its export-control list and barring 46 US companies from government procurement.** The spokesman called the US expansion of its Chinese Military Companies List “malicious” and said China had no choice but to take countermeasures. The targeted American firms all have ties to the US military, including Aveox, Ball Aerospace, and L3Harris Maritime Services. He urged Washington to help maintain a constructive and stable relationship, while calling on the US to cease its “erroneous practices.”</p><p class="summary-lead">**The escalation follows the Pentagon’s June 8 move to add Alibaba, BYD, Baidu, and dozens of other Chinese companies to its military-linked blacklist.** This widening blacklist targets sectors central to the US-China tech contest. Alibaba has since filed a lawsuit seeking removal from the list. The simultaneous pursuit of tariff cuts and retaliatory sanctions illustrates the deepening complexity of US-China economic relations, where both sides seek advantage through negotiation and coercion.</p><p class="summary-lead">**What to watch next:** Whether the proposed tariff-free trade expansion gains traction amid ongoing blacklist disputes, and how Alibaba’s lawsuit may set a precedent for other Chinese firms challenging US military designations.