US government to investigate into China’s trade practices

Almaty. August 2. Silkroadnews – The US government plans an investigation into China’s trade practices, the New York Times reported.
“The White House is preparing to open a broad investigation into China’s trade practices, according to people with knowledge of the Trump administration’s plans, amid growing worries in the United States over a Chinese government-led effort to make the country a global leader in microchips, electric cars and other crucial technologies of the future”, the article reads.
The investigation, that could start in the very near future, is noted to signal that the Trump administration has moved away from the idea of closer cooperation between Washington and Beijing in part because of “China’s reluctance to confront North Korea over its nuclear and ballistic missile programs”.
It is reported that an investigation will be carried out regarding the alleged China’s violations of the US intellectual property.
According to the publication, “any mover by the Trump administration to punish China over its trade practices would raise tensions within the world’s largest trade relationship between two countries. China’s export sector still contributes heavily to its economy growth despite Beijing’s efforts to diversify its economy, and China represents a lucrative market for American automakers, technology companies like Apple, farmers and many others”.
Nevertheless, it becomes increasingly difficult for the US to ignore China’s industrial ambitions and growing frustration among the American companies doing business there.
Attention of the officials of the Trump’s administration has been attracted by the policy of China, known as “Made in China 2025” and aimed to bring the PRC to the level of a global leader in 10 fields of industries such as production of driverless cars, medical devices, semiconductors, artificial intelligence, robotics and many other technologies with the help of huge infusions of budgetary funds and protection of these industries from American competitors.
It is noted that, at the same time, the Chinese government have demanded the US companies to reduce the license fees for key patents and set up joint ventures to conduct business in China.