The Financial Times reports: "China's foreign minister fired a pre-emptive shot at G7 leaders gathering in Japan on Thursday, warning them not to 'escalate tensions' over territorial disputes in the South and East China Seas....'We hope the G7 will focus on urgent economic and financial matters,' Wang Yi said at a briefing in Beijing. 'We do not want to see actions that escalate tensions in the region.'...In September Beijing will host Mr Obama, Mr Cameron and Japanese Prime Minister Shinzo Abe at a G20 meeting of developed and developing economies in Hangzhou, where Mr Wang made clear that his government would not tolerate a debate over regional territorial disputes. 'The G20's central task is to promote growth,' he said. 'If some members want to discuss issues not related to the international economy in an attempt to raise tensions, we will not allow this to happen.'"
The Associated Press reports: "China accused the United States on Thursday of hampering trade after Washington imposed duties of up to 450 percent on Chinese steel in its latest response to a flood of low-priced imports. The Ministry of Commerce complained U.S. regulators discriminated against Chinese suppliers by using incorrect standards for deciding what production cost and market prices should have been....'The United States has deliberately suppressed the bulk of Chinese steel exports,' said a Commerce Ministry statement. 'This not only harms Chinese steel enterprises but hinders trade and cooperation between enterprises.' It said Beijing will 'take all necessary measures to fight for fair treatment' but gave no details."
The New York Times Editorial Board writes in a commentary: "China has been behaving in a bellicose fashion in the South China Sea for some time as part of a sustained and increasingly dangerous effort to assert sovereignty over a vital waterway in which other nations also have claims....The right response would be for China to accept the [international arbitration] court's decision and work with the Philippines and other neighboring countries that have interests in the region — Vietnam, Malaysia, Brunei and Taiwan — on a mutually acceptable resolution to their rival claims....These issues are expected to be a major focus of President Obama's trip to Asia, which is scheduled to begin this weekend with visits to Vietnam and Japan....One encouraging note in the Pentagon report is the finding that while China has been willing to tolerate higher levels of tension in pursuit of its maritime claims, it 'still seeks to avoid direct and explicit conflict with the United States.' The challenge for all sides is making that aspiration a reality."