MNI BRIEF: China To Watch U.S Section 301 Investigation:MOFCOM

Beijing believes the U.S has no right to determine through Section 301 investigations whether a trading partner has overcapacity and impose unilateral restrictive measures, spokesperson of Ministry of Commerce told reporters on Friday. 

China will closely monitor the progress of the situation and reserves the right to take all necessary measures to safeguard its legitimate rights and interests, the Ministry said. 

Washington's initiation of Section 301 investigations against 16 economies, including China, on the grounds of “overcapacity", is a "unilateralist practice that disrupts the international economic and trade order," the Ministry said, noting the U.S. cannot define production capacity that exceeds domestic demand as "overcapacity" and label it as such since the world economy requires supply and demand matching within a global perspective. (See MNI: China, US Talk Tariffs Before Possible Summit-Advisors)