China ready for long economic battle with US: Communist Party journal

China is prepared for a long-term fight with the U.S. over trade, a journal of China’s ruling Communist Party said Sunday, according to Reuters.

“China will not be afraid of any threats or pressure the United States is making that may escalate economic and trade frictions. China has no choice, nor escape route, and will just have to fight it out till the end,” the editorial in the journal Quishi (Seeking Truth) states, according to the news service.

{mosads}“No one, no force should underestimate and belittle the steel will of the Chinese people and its strength and tenacity to fight a war.”

Beijing and the U.S. have been in an ongoing trade war since the U.S. leveled a series of tariffs on Chinese goods in 2018.

{mosads}The conflict escalated earlier this year when talks broke down between the two nations, with the U.S. accusing China of walking back its commitment to address issues like piracy and copyright infringement. The U.S. responded with further tariffs, leading China to retaliate.

In the editorial, the journal calls the dispute a pretext to stifle Chines innovation, according to Reuters.

“We must keep the initiative of innovation and development firmly in our hands, increase investment and research in key, core technology areas, pool together more high-value talents, enhance innovation and get rid of the core technology plight,” the commentary says.

Both President Trump and his economic advisor Larry Kudlow have claimed the U.S. is better-positioned to ride out a long-term trade conflict than China.

The U.S. Office of the Trade Representative is scheduled to kick off seven days of testimony beginning Monday from U.S. retailers and manufacturers on how they would be affected by the White House’s plan to levy tariffs on another $300 billion worth of Chinese goods.