The US, EU and Japan have ramped up pressure on Beijing over its model of state-sponsored capitalism, calling for tougher World Trade Organization curbs on government subsidies.
In a rare example of the Trump administration turning to allies for help in solving trade problems, the three issued a joint statement on Tuesday on a proposal for more stringent global rules to prevent Chinese companies relying on state support to gain advantage over foreign rivals.
The proposed rule changes take aim at core parts of China’s economic model, calling for a wider WTO ban on various types of state support and for governments to do more to prove that aid to companies does not distort trade.
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