Business and Economy News: G7 Urges China to Adhere to Rules, Citing Economic Pressure

The G7 has pledged to counter economic coercion in response to a growing number of countries using trade as a political weapon. In a statement on economic security, the club of wealthy democracies outlined plans to reduce vulnerabilities and counter the exploitation of such vulnerabilities. The statement did not name China specifically, but Western officials have been increasingly vocal about its use of trade restrictions in political disputes. The G7 leaders highlighted the need for concerted action to be taken against China’s use of punitive trade measures, which have affected countries including Japan, South Korea, Australia, and Lithuania. Amid concerns over the heavy dependence on Chinese trade, there have been calls for the creation of an “economic NATO” and warnings of harsh sanctions should China take aggressive action towards Taiwan.