Justified and legitimate moves to ensure fair market competition

On Monday, the State Administration for Market Regulation announced further antitrust proceedings against Nvidia on finding it had failed to comply with the conditions imposed on its 2020 acquisition of Mellanox and engaged in practices restricting market competition in GPUs and high-performance network equipment.

This followed the Ministry of Commerce's announcement on Saturday that it is carrying out an antidumping investigation into certain analog integrated circuit chips imported from the US, including commodity interface IC chips and gate driver IC chips with process technologies of 40-nanometer and above.

These measures demonstrate China's resolve to protect its core and lawful development interests, uphold market law, and safeguard the legitimate rights of its domestic industries. They also affirm the country's commitment to providing a fair, nondiscriminatory business environment under the rule of law for all foreign enterprises, including those from the United States.

The latest antidumping investigation by the Ministry of Commerce was launched in response to an application by a domestic semiconductor industry association and is in line with China's Anti-Dumping Regulations. Preliminary evidence shows that from 2022 to 2024, US exports of the targeted products to China increased by 37 percent while prices fell by 52 percent, causing severe harm to the Chinese industry. The Ministry of Commerce has stressed that the investigation is lawful, fair and transparent, and that the rights of all parties concerned will be respected.

The antidumping investigation and the antitrust probe should leave no party in any doubt that China will never waver in defending its core, legal development interests. The country has the right and the determination to protect its legitimate industries against unfair practices. Protecting the normal operation of key sectors such as semiconductors is not only vital for China's development, but also for the stability of global supply chains.

At the same time, China remains firmly committed to deepening reform, expanding opening-up, and improving the rule-of-law environment for all enterprises. Multinational companies, including those from the US, will continue to enjoy opportunities in China so long as they operate in compliance with the country's laws and respect market rules.

China's actions are rule-based and not targeted at any specific entity from any particular country or region. They should be understood as lawful measures to ensure fair competition and safeguard the functioning of the market economy. This position is also consistent with China's long-standing call for frictions to be resolved through dialogue and consultation.

At a time when the global economy remains fragile, cooperation rather than confrontation is the only right choice. China and the US, as the world's two largest economies, should steer bilateral economic ties in a stable direction, prudently manage their disputes and focus on areas of cooperation that bring tangible benefits to both peoples.

As the spokesperson for the Ministry of Commerce stressed, the US should stop stretching the concept of national security and imposing exports control and discriminatory measures against Chinese enterprises, violating normal international trade and World Trade Organization rules. US policymakers should realize that politicizing economic and trade issues risks harming not only bilateral economic ties but also the global economy.

What the world needs is confidence, predictability and stability. Major economies providing a fair, transparent and nondiscriminatory environment committed to resolving differences through dialogue and negotiation on the basis of equality and mutual respect can contribute exactly that.

The antidumping investigation and antitrust probe of the Chinese authorities are thus not signals of confrontation, but demonstrations of China's dual resolve: to defend its core development rights under law, and to remain a dependable partner in building a rules-based, open and cooperative global economy.