Ministry of Commerce responds to questions from reporters regarding the U.S. Trade Representative Grier's remarks on the Section 301 investigation into China's implementation of the China-U.S. Phase One Economic and Trade Agreement

Question: Recently, U.S. Trade Representative Katherine Tai stated that the U.S. will continue to push forward with a Section 301 investigation into China’s implementation of the U.S.-China Phase One Trade Deal and may take tariff measures. What is China’s comment on this?

Answer: China has taken note of the relevant remarks from the U.S. side. Since the Phase One Trade Deal took effect in early 2020, China has upheld the spirit of the agreement, making efforts to overcome the sudden impact of the pandemic, along with disruptions to supply chains and the global economic downturn. China has earnestly fulfilled its obligations under the agreement, including strengthening intellectual property protections and promoting the opening of financial and agricultural markets, fulfilling its commitments on schedule. China has also fully honored its commitments to expand trade cooperation. In contrast, the U.S. has tightened export controls on China, restricted bilateral investments, and continuously escalated restrictions and suppression measures in trade and other fields, hindering normal bilateral trade and investment activities. These actions violate the spirit of the agreement and undermine the atmosphere and conditions for its implementation. The facts and principles involved have been comprehensively and thoroughly explained in China’s White Paper titled “China’s Position on Several Issues in the China-U.S. Economic and Trade Relations,” published on April 9, 2025.

Since last year, China and the U.S. have held five rounds of economic and trade consultations, achieving a series of important results, including consensus on extending the pause on reciprocal tariffs, agricultural product trade, export controls, and reducing investment restrictions. During this process, both sides have also engaged in multiple communications regarding the Phase One Trade Deal. China hopes the U.S. will objectively and rationally view the implementation of the Phase One agreement, avoid “shifting blame,” and refrain from using the issue to “stir up trouble” or “create disturbances.” China is willing to work with the U.S., guided by the important consensus reached by the two heads of state, to make good use of the China-U.S. economic and trade consultation mechanism, focus on the future, implement the existing consensus, actively explore mutual interests, and “look forward” together. If the U.S. insists on pushing forward with related investigations or even uses investigations as a pretext to impose tariffs and other restrictive measures, China will take all necessary measures to firmly defend its legitimate rights and interests.

(Source: Ministry of Commerce website)