China has initiated an investigation into Google, shortly after the deadline for the United States to impose a 10% tariff on Chinese imports lapsed, reigniting tensions in the trade conflict between the two largest economies.
The State Administration for Market Regulation announced the inquiry into the US tech giant over alleged anti-trust violations.
President Trump temporarily halted his proposed 25% tariffs on Mexico and Canada, agreeing to a 30-day delay in exchange for commitments on border security and crime control from those countries.
However, no similar concession was extended to China, and a White House representative indicated that Trump would not engage in discussions with Chinese President Xi Jinping until later in the week.
China is focusing its attention on brands such as Calvin Klein.
China has placed PVH, the parent company of Calvin Klein and Tommy Hilfiger, on its unreliable entity list.
According to Andreas Schotter, a professor of international business at Western University in Ontario expressed the issue .
This move serves as a political strategy by China against a prominent American retail brand.
Schotter noted that Beijing has faced allegations of labor and human rights violations and is now redirecting those accusations towards Western companies.
He emphasizes that the accuracy of these claims is irrelevant.
The key point is that China is retaliating in a similar manner.
Schotter further indicates that Chinese authorities will likely investigate Calvin Klein's factories for any perceived misconduct, complicating the company's operations in China.
He concludes that this situation reflects the broader trend of economic decoupling between the United States and China.