The Chinese government may decline to participate in proposed trade talks with the United States later this month if the Trump administration moves forward with additional tariffs on imported Chinese goods, the Wall Street Journal reported on Sunday, citing Chinese officials.
The U.S. had proposed the talks, but at the same time moved forward with planning additional tariffs on some $200 billion of Chinese products, the Journal reported.
The report quoted one senior Chinese official saying the country would not negotiate “with a gun pointed to its head.”
Other officials who advise the country’s leaders are suggesting China impose limits on the sale of parts and supplies needed by U.S. businesses, using “export restraints” to threaten their supply chains.
Fresh trade talks had been proposed by Treasury Secretary Steven Mnuchin to begin around Sept. 20.
Though China had begun discussing plans to attend, but began rethinking whether to attend because of the possibility new tariffs may be announced this week.
Reporting by Howard Schneider; Editing by Nick Zieminski