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China Slams U.S. Forced Labor Tariffs and AI Pressure, Vowing 'All Necessary Measures' to Protect Interests

Jeong Seong-jin

Published : Jul 27, 2026 10:05 PM


The Chinese government has strongly pushed back against the United States' imposition of additional "forced labor" tariffs and its plans to investigate Chinese artificial intelligence companies for alleged intellectual property (IP) theft, declaring that it "reserves the right to take all necessary measures."

The Chinese Ministry of Commerce issued successive statements under a spokesperson today (July 27), expressing strong regret over the Section 301 tariffs related to forced labor and the planned investigations and sanctions targeting Chinese AI companies.

Regarding the U.S. decision to impose additional tariffs on 60 economic entities, including South Korea and China, under the pretext of "forced labor," the Chinese Ministry of Commerce stated, "China has consistently opposed forced labor and has established the relevant laws and systems to strictly prevent and crack down on forced labor practices."

Previously, the Office of the U.S. Trade Representative (USTR) announced final measures on the 23rd local time, applying "forced labor tariffs" of 10% to 12.5% on 60 economic entities, including South Korea and China, invoking Section 301 of the Trade Act.

Chinese products were hit with an additional tariff of 12.5%.

The Chinese Ministry of Commerce stated, "The U.S. has long politicized the forced labor issue," adding, "Using this as a pretext to impose unilateral tariffs is a textbook act of unilateralism and protectionism, and China firmly opposes it."

It further claimed, "The U.S. has repeatedly stated its intention to replace tariffs based on the defunct International Emergency Economic Powers Act (IEEPA) and import levies under Section 122 of the Trade Expansion Act with Section 301 tariffs," and asserted, "During U.S.-China economic and trade negotiations, the U.S. explicitly promised that substitute tariffs on Chinese products would not exceed 20%."

"China's countermeasures against the so-called 'fentanyl tariffs' and reciprocal tariffs remain in effect," the ministry warned. "We will closely monitor and comprehensively evaluate subsequent U.S. actions, and we reserve the right to take all necessary measures."

Additionally, the Chinese Ministry of Commerce criticized remarks by U.S. Treasury Secretary Scott Bessent, who recently stated that the U.S. would examine Chinese AI models and take action if evidence of IP theft is found, calling it "a textbook example of AI hegemony that politicizes and weaponizes science, technology, economics, and trade."

The ministry argued, "The U.S. is slapping a label of American IP theft while ignoring the reality that Chinese AI models and cutting-edge U.S. models were released around the same time, and that some Chinese models have risen to global leadership," adding that the move "lacks factual and legal basis and is a clear display of double standards."

"Innovation is not the exclusive domain of any single side," the Chinese Ministry of Commerce emphasized, noting that "Chinese AI companies have continued foundational research, combining self-reliance with open cooperation to lead the development of AI technology."

The ministry also urged the U.S. to "abandon its hegemonic mindset and immediately stop groundless smears and threats of sanctions against Chinese companies," warning that "any actions that substantially harm China's interests will be met with all necessary measures to firmly safeguard our legitimate rights and interests."

(Photo: AP, Yonhap News)