Experts say world will pay price of Washington's protectionist stance

As China published a white paper on Sunday denouncing US unilateral and protectionist measures, foreign business and trade experts said that protectionism must be avoided as it is shortsighted and will have an adverse effect on the global economy in the long run.

The white paper, "China's Position on the China-US Economic and Trade Consultations" issued by the State Council Information Office, sets out China's stance on the damage caused by the trade friction provoked by the United States, and China's commitment to credible consultations based on equality and mutual benefit.

Christopher Bovis, professor of international business law at the University of Hull in the United Kingdom, noticed that as the US administration has maintained a US-centric trade policy with protectionist and nationalistic features, it has departed from the principle of free trade and embarked upon a series of trade wars with its major partners across the world, including China.

"Protectionism is shortsighted. The reason for such irrational behavior is the US needs to renegotiate WTO rules and take away some of the advantages of market access which have been offered to other economies over the past 20 years.

"However, this runs contrary to a global integration agenda which has been sought by international institutions and governments worldwide with the objective of trade liberalization and the elimination of protection and preferences by governments to national industries," Bovis said.

Commenting on China's stance on the Sino-US trade negotiation, Tom Harper, doctoral researcher at the University of Surrey, said Beijing sees the trade conflict as a US attempt to contain its ascent and derail the Made in China 2025 initiative.

"Beijing is unlikely to back down regardless of the threats made by the Trump administration. What is notable is that the legacy of history has been invoked, with Trump's demands bringing back memories of the 'unequal treaties' of the 19th century for the Chinese," Harper said.

"It is China's long-term vision that has been instrumental in its success rather than simplistic perceptions that China has only advanced through IP theft or being able to manufacture what has been conceived elsewhere," he added.

Trumpeting "America First", the current US administration has adopted a series of unilateral and protectionist measures, regularly wielded tariffs as a "big stick" and coerced other countries into accepting its demands, the white paper said.

Jock O'Connell, an international trade adviser for California-based independent research and consulting company Beacons Economics, said in a globalized world the logic of protecting one's own interests at the expense of damaging those of its trading partners is problematic.

"Too many of the Trump administration's demands go to the heart of Chinese economic policy and even touch on the issue of national sovereignty. Washington's calls for reforming an economic system that has worked very well for China over the past 40 years seem absurd," O'Connell said.

Tim Harcourt, a JW Nevile fellow in economics at UNSW Business School in Sydney, Australia, said that China and the US will eventually reach an agreement.

Andy Rothman, an investment strategist at San Francisco-based investment firm Matthews Asia, said that it is still possible that the two can achieve reconciliation, "but only through dialogue and more engagement."

Lia Zhu in San Francisco, Karl Wilson in Sydney and Pan Mengqi in Beijing contributed to this story.