U.S. initiates review of China's trade practices over intellectual properties
Washington D.C. [U.S.A.], August 15 : United States President Donald Trump has asked his country's Trade Representative Robert Lighthizer to review Chinese trade practices regarding intellectual properties.As per CNN Money report, Trump signed a memorandum on Monday that directed Lighthizer to determine whether an investigation is needed into alleged unfair Chinese trade practices.
This move, which could allow Trump to impose tariffs on Chinese goods, comes at a time when Trump's administration seeks cooperation with Chinese President Xi Jinping on North Korea's ongoing missile threats.
This came after U.S. corporations, that do business in China, have complaint that China is spying, hacking or forcing companies to hand over their intellectual property, such as a patent on a software product.
"We will engage in a thorough investigation and, if needed, take action to preserve the future of U.S. industry," Lighthizer said.
According to a report published this year, China is the main offender of stealing U.S. intellectual properties, estimating it costs the U.S. economy up to $600 billion a year.
Earlier, fearing the trade penalties by the U.S. over intellectual property violations, China's Commerce Ministry on Monday had issued an order imposing economic sanctions on North Korea so as to force the reclusive country to curb its nuclear weapons programme.