US criticism of China’s state-owned firms is ‘sour grapes’, says Communist Party mouthpiece
- China’s subsidies for state-owned enterprises (SOEs) is one of the major roadblocks to progress in trade negotiations between the world’s two biggest economies
- ‘‘People’s Daily’ editorial claims that state firms have been ‘demonised’ and painted as ‘a thorn in the flesh’ by some individuals in the US
The disapproval from the United States of China’s state-led economy is “sour grapes”, according to a commentary from People’s Daily, the Communist Party mouthpiece.
US President Donald Trump’s administration has imposed tariffs on US$250 billion worth of Chinese imports to try to pressure Beijing to put an end to policies – including industrial subsidies – that Washington says hurt US companies trying to compete with Chinese firms. China has retaliated with its own tariffs on US products.
Without naming anybody in particular, the People’s Daily claimed that China’s state firms have been “demonised”, and painted as “a thorn in the flesh” by “some individuals in the US”.
“Some people in the United States have deliberately speculated that China greatly subsidises state-owned enterprises,” read the commentary. “It is difficult to separate that relationship with psychological imbalances – a sour grapes mentality.”
The commentary claimed that the “worldwide success” of SOEs, three of which made it into the top 10 of Fortune magazine’s list of Global 500 firms in July, has triggered “anger” among some individuals wanting to get rid of these companies.