Trump's Tariff Makes The World Heat Up, European Commission Reminds China To Avoid Escalation With The US

ILLUSTRATION/PHOTO via Instagram @europeanparliament

JAKARTA - European Commission President Ursula von der Leyen in a telephone conversation with Chinese Prime Minister Li Qiang warned against further escalation of US import rates.

"The president is calling for a negotiated resolution to the current situation, stressing the need to avoid further escalation," Ursula von der Leyen said in a statement by the European Commission on Tuesday, April 8.

The President stressed China and Europe's responsibility to support a strong and structured, free, fair, and equivalence-based trading system.

"The president underlined the importance of stability and predictability for the global economy," the statement continued, citing vonderLeyen demonstrating China's important role in dealing with possible trade diversions caused by tariffs.

Chinese Prime Minister and von der Leyen discussed the formation of a mechanism to monitor potential trade diversions and respond "appropriately" to any developments.

"He also reminded the urgency of structural solutions to rebalance bilateral trade relations and ensure better access to European businesses, products, and services to the Chinese market," the statement said.

The EU official also reiterated the need for a just and lasting peace in Ukraine, stressing the peace situation must be determined by Kyiv.

"He invited China to intensify its efforts to make a meaningful contribution to the peace process," the statement added.

US President Donald Trump last week announced he would impose an additional 34 percent above the 20 percent tariff imposed earlier this year, as part of a "return" rate against several countries.

Trump also threatened to impose an additional 50 percent tariff if Beijing did not withdraw their retaliation.

For imports from the European Union, Trump has charged 20 percent.