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BEIJING, Aug. 16 (Xinhua) -- The Chinese government will step up reform and roll out a series of new incentives to better remove hurdles hampering private investment and businesses and boost economic vitality, the State Council's executive meeting chaired by Premier Li Keqiang decided on Thursday.

In facing repeated threats of a trade war by the United States, the Chinese government repeatedly stated its principled position of "not wanting a trade war, not being afraid of one, and having to fight one when necessary". The Chinese side insisted on not firing the first shot, and was forced into taking reciprocal countermeasures after the United States first started the trade war. China did this entirely for defending its national dignity and people's interests, defending the principles of free trade and the multilateral trading system, and defending the common interests of the countries across the world. The Chinese government has already taken the unilateralist actions of the United States to the Dispute Settlement Mechanism of the WTO. The Chinese government's measures, both bilateral and multilateral, to respond to the emergent situations resulting from the U.S. unilateral actions are in full compliance with the fundamental spirit and principles of international law.

Sources of two international leading container shipping companies told Xinhua they estimated the ripple effect of the China-U.S. trade dispute to emerge in the second half of the year.

"It is the United States who closes the door but asks others to open the door unconditionally, and it puts its interests above other countries' interests and international rules due to its domestic political needs.

Spokesperson Lu Kang made the remarks in response to the report released on Thursday by the U.S. Department of Defense hyping up the so-called "China threat" and "lack of military transparency."