 "At Davos, China calls out ‘unilateral acts’ as it pitches itself as reliable trade partner amid Trump tensions")
China’s Vice Premier He Lifeng on Tuesday projected his country as a champion of the rules-based international order during a speech at the World Economic Forum, delivering a veiled critique of the Trump administration.
Chinese Vice Premier He Lifeng at Davos:
— Clash Report (@clashreport) January 20, 2026
China never seeks a trade surplus.
On top of being the world’s factory, China hopes to become the world’s market. pic.twitter.com/G37LZYRYpK
“The unilateral acts and trade deals of certain countries clearly violate the fundamental principles and rules of the (World Trade Organization), and severely impact the global economic and trade order,” said He, adding that the world should not slide back into “the law of the jungle, where the strong bully the weak.”
His remarks come amid rising tensions between the European Union and the United States over Washington’s threats to annex Greenland by force.
The dispute has prompted President Donald Trump to warn several European countries of potential new duties after they sent troops to the North Atlantic island.
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View AllMeanwhile, Canada, also affected by US trade measures, has moved closer to China in response. Last week, Ottawa signed an agreement with Beijing to liberalise trade in agricultural goods and electric vehicles, signaling a shift in its economic partnerships despite being a longtime US ally.
“Tariffs and trade war have no winners,” said He, praising the benefits of “free trade and economic globalisation.” He said that the global trade system was facing its biggest challenge in years.
He urged countries not to turn their backs on globalisation and trade liberalisation, which he said had helped “many countries, including China” achieve “fast development.”
He acknowledged that globalisation “wasn’t perfect” but warned it would be wrong for nations to retreat into “self-imposed isolation.”
China’s vice premier defends economic model
He also addressed criticisms of China’s economic model, which produced a record trade surplus of nearly $1.2 trillion in 2025.
In Europe, such high levels of exports have raised concerns that Chinese goods could undercut European businesses across industries including automotive.
The vice premier emphasised that China’s goals extend beyond exporting goods, asserting that the country wants to be the “world’s market.”
He added, however: “When China wants to buy, other countries don’t want to sell,” referencing US restrictions on the sale of advanced microchips used in AI technology.
Beijing is prioritising domestic demand, He said, even as household consumption has lagged for decades, accounting for less than 40 per cent of GDP last year — well below the global average of over 60 per cent, according to World Bank data.
Economists argue that boosting household income could help China absorb its manufacturing surplus, reducing pressure on exports, while also increasing demand for foreign goods, including European luxury products.
“We encourage businesses from around the world to seize the opportunities presented by our expanding domestic demand, provide more and better products and services, and further explore China’s consumer market,” He said. “China will open its door still wider to the world.”
With inputs from agencies
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