Defining Europe’s allegations .. China responds to undermining the ability of European competitors

Chinese Prime Minister Lee Qiang responded to Brussels’s concerns about the excessive support allegations of its national industries.
He assured leaders that China cannot bear such expenses.

Tax and tax subsidy policy

He stated that “China does not in any way adopt what some call the policy of support or tax subsidies.”
The Chinese Prime Minister’s statements came as part of a Chinese -Chinese summit held in Beijing, which was tense due to the contentious topics between the two sides of the war in Ukraine to trade.
Brussels expressed concern about the great support that Beijing provides to its industries, which may enable it to undermine the ability of European competitors by pumping exports at low prices into the European market.

Public funds in China

In response, Chinese Prime Minister said, “China is not rich as Europe, and it does not have the potential for that.”
He added: “We will not be stupid to the point of using public funds that the government collects and the relevant work our people do in order to sell our products to foreign consumers.”
The European Union’s trade balance deficit with China last year increased to $ 360 billion.

China industrial capabilities

“Lee” rejected these allegations, considering that this imbalance is not related to support, and said, “China’s industrial capabilities are very large, as some factories operate around the clock.”
He also denied that the Chinese economy was the second largest economy in the world, in a state of deterioration and suffering from weak growth, economic contraction, or a rise in the unemployment rate among young people.
“Of course there are difficulties and challenges, but it cannot be said that the Chinese economy is in a stagnation,” he said.