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Missouri sues China for $25B, CCP warns of ‘reciprocal countermeasures’

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Missouri is suing China for $25 billion, accusing the Chinese government of hoarding personal protective equipment (PPE) during the early days of the COVID-19 pandemic. The lawsuit, filed by Missouri Attorney General Andrew Bailey, claims China’s actions significantly harmed the people of Missouri and disrupted the global pandemic response.

Bailey argues that the case is an opportunity to hold China accountable for its role in the pandemic. Critics contend that the lawsuit could set a new precedent, allowing the U.S. to be sued in Chinese courts.

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The lawsuit’s origins and claims

The lawsuit was originally filed in 2020. Bailey accused China of covering up critical information about the virus and hoarding PPE, such as masks and ventilators, in the pandemic’s early days.

Bailey’s office claims China “thwarted the production, purchasing, and import and export of medical supplies.” As a result, Bailey said China’s actions caused “widespread harm” to Missouri residents.

The case has faced legal hurdles. A district court judge dismissed the lawsuit, citing the 1976 Foreign Sovereign Immunities Act (FSIA), which typically shields foreign governments from prosecution in U.S. courts. However, the U.S. Court of Appeals revived part of the case in 2024. The court ruled that Missouri could pursue claims related to the hoarding of PPE but not allegations about China’s data cover-up.

The court categorized the PPE claims as an “antitrust claim” related to commercial activity, allowing the case to proceed.

China’s response and trial expectations

As the trial begins Monday, Jan. 27, reports suggest that China will not send a representative to court. The CCP has long dismissed lawsuits like Missouri’s as “very absurd” and lacking factual or legal basis.

China has also warned of potential retaliatory legal action. The country asserts that the U.S. could lose immunity in Chinese courts if these lawsuits continue.

In a Chinese diplomatic notice to the U.S. State Department regarding state cases against China, the CCP wrote it “does not accept and will not participate in such lawsuits … [i]f the U.S. side allows the frivolous lawsuits to proceed, the Chinese side reserves the right to take reciprocal countermeasures.”

If China does not show up in court, Missouri could win a default judgment, making it easier for the state to secure damages.

What’s at stake

The outcome of this case could have broad implications, with Missouri seeking to hold China financially responsible for its pandemic-related actions. If the court rules in Missouri’s favor, it could further inflame already-tense relations between the U.S. and China.

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[Karah Rucker]

MISSOURI VERSUS CHINA – A CASE GOING TO TRIAL IN FEDERAL COURT MONDAY.

THE STATE IS SUING CHINA FOR 25 BILLION DOLLARS –

ACCUSING THE CHINESE GOVERNMENT OF HOARDING “PERSONAL PROTECTIVE EQUIPMENT” DURING THE EARLY DAYS OF THE COVID-19 PANDEMIC.

MISSOURI’S ATTORNEY GENERAL FILED THE LAWSUIT –

AND SAYS ITS A CHANCE TO “HOLD CHINA ACCOUNTABLE” FOR ITS ROLE IN THE GLOBAL PANDEMIC.

CRITICS OF THE SUIT ARGUE IT COULD SET A NEW PRECEDENT –

ALLOWING THE U.S. TO BE SUED IN CHINESE COURTS.

THE LAWSUIT AGAINST THE CCP WAS FILED BACK IN 2020 – WITH THE STATE A-G “ANDREW BAILEY” ARGUING CHINA COVERED UP VITAL INFORMATION ABOUT THE VIRUS – AND WAS HOARDING P-P-E SUPPLIES LIKE MASKS AND VENTILATORS – IN THE EARLY DAYS OF THE PANDEMIC.

BAILEY’S OFFICE SAYING CHINA “THWARTED THE PRODUCTION, PURCHASING, AND IMPORT AND EXPORT OF MEDICAL SUPPLIES.”

AS A RESULT – BAILEY SAYS CHINA’S ACTIONS CAUSED “WIDESPREAD HARM” TO THE PEOPLE OF MISSOURI.

THE CASE HAS SEEN ITS SHARE OF LEGAL TWISTS.

THE DISTRICT COURT JUDGE DISMISSED THE CASE – SAYING THE DEFENDANT – CHINA – WAS IMMUNE UNDER THE 1976 “FOREIGN SOVEREIGHN IMMUNITIES ACT” –

WHICH GENERALLY PREVENTS FOREIGN GOVERNMENTS FROM PROSECUTION IN **U.S. COURTS.

BUT THE U.S. COURT OF APPEALS – REVIVED A PORTION OF THE ATTORNEY GENERAL’S CASE AGAINST CHINA.

THE THREE JUDGE PANEL RULED MISSOURI CAN’T GO AFTER CHINA ON THE BASIS OF COVERING UP COVID DATA AND INFO –

BUT THE STATE **COULD PROCEED WITH ITS CLAIMS THAT THE CCP HOARDED PROTECTIVE EQUIPMENT.

THE APPEALS COURT RULED THAT FALLS UNDER AN “ANTITRUST CLAIM” RELATED TO COMMERCIAL BUSINESS – AND ALLOWED THE CASE TO PROCEED.

THAT TAKES US TO TODAY –

WITH TRIAL GETTING UNDERWAY THIS AFTERNOON.

BUT THE DEFENDANTS – ARE EXPECTED TO BE A NO SHOW ACCORDING TO MEDIA REPORTS.

THE CCP HAS LONG DISMISSED THE MISSOURI SUIT AND OTHERS LIKE IT AS QUOTE “VERY ABSURD” SAYING IT HAS NO FACTUAL OR LEGAL BASIS – AND THREATENING THE U.S. WITH SIMILAR LEGAL ACTIONS.

THE CCP SENT A NOTICE TO THE STATE DEPARTMENT LAST YEAR REGARDING STATE CASES AGAINST CHINA.

SAYING IT “…does not accept and will not participate in such lawsuits…[i]f the U.S. side allows the frivolous lawsuits to proceed, the Chinese side reserves the right to take reciprocal countermeasures.” –

STRIPPING THE UNITED STATES’ IMMUNITY IN CHINESE COURTS.

IF THE CCP HAS NO REPRESENTATIVE IN MISSOURI COURT TODAY –

THAT WOULD MEAN NO CROSS-EXAMINATION OR REBUTTALS FROM CHINA IN THE CASE.

THE EPOCH TIMES REPORTED THAT COULD MAKE A DEFAULT JUDGMENT IN MISSOURI’S FAVOR EASIER TO ACHIEVE.

AND IF THAT HAPPENS – AND MISSOURI SEEKS THE TENS OF BILLIONS OF DOLLARS IN DAMAGES – FURTHER TENSIONS BETWEEN THE U.S. AND CHINA COULD ENFLAME.

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