China appoints Li Chenggang as new trade envoy, replacing Wang Shouwen, in a move seen as a response to rising trade tensions with the U.S.
The appointment comes amid sharp criticism from Chinese officials over what they describe as Washington’s “tariff barriers and trade bullying,” which they say are disrupting the global economic order.
Li, 58, previously served as assistant commerce minister and China’s ambassador to the World Trade Organization. He is expected to take a central role in any future negotiations with the US, though talks between both countries have yet to resume.
China’s economy, already slowing, faces further pressure as US President Donald Trump raised tariffs on Chinese goods from 10% to 145% last week. In response, Beijing imposed counter-tariffs of 125% on US products.
Despite these developments, China reported a better-than-expected GDP growth of 5.4% for the first quarter of 2025, supported by strong retail activity and manufacturing output.
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Analysts caution that the growth may be temporary, driven by exporters rushing to ship goods before the tariffs took effect — a practice known as “front loading.”
At a press conference on Wednesday, Sheng Laiyun of the National Bureau of Statistics said the tariffs would weigh heavily on the country’s foreign trade. However, he expressed confidence in the resilience of the Chinese economy, pointing to available policy tools for further stimulus.
A recent editorial by state media outlet China Daily criticized the US approach to global trade, urging Washington to “stop whining” and accusing it of benefiting excessively from globalization while blaming others for its own economic issues.
As China’s property sector continues to drag on growth, officials are emphasizing the need to boost domestic consumption to offset the export slump. Property investment dropped nearly 10% year-on-year in Q1, with stagnant home prices indicating weak demand.
With no signs of an immediate thaw in trade relations, all eyes are on Li Chenggang as he steps into one of China’s most high-stakes diplomatic roles.
BBC News
