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China against tariff plan in US climate bill

(Agencies)
Updated: 2009-07-02 15:19

BEIJING: China said Thursday it opposed part of a landmark US bill to cut greenhouse gas emissions, saying tariffs should not be imposed on countries that do not cut emissions.

"We are firmly against such attempts to advance trade protectionism under the pretext of climate change," Vice Foreign Minister He Yafei told reporters in Beijing.

The US House of Representatives narrowly passed sweeping legislation Friday that calls for the nation's first limits on pollution linked to global warming. One provision could impose tariffs on imports from countries that do not make similar cuts.

Related readings:  US seen backing climate target at G8  UN chief: Climate pact must be finalized  China unhappy with US climate bill  G8 not likely to discuss reserve currency: analysts  Hu to attend G8 leaders' dialogue

"It is not conducive to world economic recovery and it serves nobody's interest," He said of that proposal.

The US bill must still pass the Senate, and President Barack Obama has expressed reservations about the tariff measure. The Obama administration wants the bill passed by the end of the year, when negotiations for a new international agreement to reduce greenhouse gases get under way in Copenhagen.

Both the US and China next week will attend the Major Economies Forum on Climate and Energy in Italy, a gathering of 19 nations and the European Union that together produce 80 percent of the world's greenhouse gases.

The forum is on the sidelines of a Group of Eight meeting. China attends the G-8 meeting as a member of the five large developing countries.

The meeting will likely be devoted to combating the world economic crisis, with attention on China as one of the key economies driving global growth during the slump.

He said China hopes the exchange rate of the US dollar remains stable, but denied reports that China wants to put proposals for a new global reserve currency on the agenda. He said China would be willing to discuss the issue if it comes up.