Political fears of China’s economic might intensified yesterday following China’s unsolicited bid to take over a U.S. oil company, with lawmakers from both political parties warning that Congress will take retaliatory action against Chinese trade practices if the Bush administration fails to respond.
Under a barrage of questions, Federal Reserve Chairman Alan Greenspan and Treasury Secretary John W. Snow warned the Senate Finance Committee against punitive legislation that could trigger a trade war and ultimately harm the U.S. economy.
See also: Chinese Unocal bid faces hurdles from Reuters, and China’s gas guzzler from The Economist.
