Tuesday, 23 October, 2018

US, China to resume talks in bid to avert trade war

White House trade and manufacturing adviser Peter Navarro a member of the U.S. trade delegation to China leaves a hotel in Beijing US, China to resume talks in bid to avert trade war
Melinda Barton | 17 May, 2018, 11:17

White House trade adviser Peter Navarro is being excluded from talks in Washington, D.C., with top Chinese official Liu He, Bloomberg News reported, citing two administration officials. "The one sure thing is that President Trump meticulously honours his campaign promises, and key among them is making our trade relations with China much fairer", Ross said. US Treasury Secretary Steven Mnuchin will lead a high-level delegation for the talks with a high-powered Chinese delegation, led by Vice Premier Liu He, which has arrived in the US capital.

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President Donald Trump waves to Uzbek President Shavkat Mirziyoyev as he leaves following a visit to the White House in Washington, on May 16, 2018.

In addition to Navarro, senior American officials who will be participating include National Economic Council Chair Larry Kudlow and trade adviser Everett Eissenstat, the second official said.

"These meetings are a continuation of the talks held in Beijing two weeks ago and will focus on rebalancing the United States-China bilateral economic relationship", the White House said in a statement.

Uncertainty over relations between the USA and China has roiled financial markets and raised concerns among businesses anxious about a trade war.

Trump said in tweets on Wednesday that "nothing has happened" with China's ZTE Corp and that Beijing has "much to give" Washington on trade, denying suggestions that his administration was "folding" in negotiations with Beijing.

US lawmakers on Tuesday rejected any plan by Trump to ease restrictions on ZTE, calling the company a security threat and vowing not to abandon the Commerce Department ruling banning sales of American components and software to the company for violating terms of a sanctions settlement deal. Earlier this week, Trump surprised many by hinting in a tweet that he wanted to find a way to keep the company afloat.

China also wants the United States to back off its threat to impose tariffs on $50 billion to $150 billion of Chinese goods, ease controls on exports of high-technology goods to China and reduce barriers to Chinese investment.

Trump has threatened to expand the list of targeted Chinese goods to $150 billion - which potentially could cover everything the United States imports from China, since those imports totaled $130 billion previous year.

"We hope the U.S. gets rid of economic and trade restrictions it should not have", Gao said.

Liu told one group of House lawmakers in a meeting Wednesday that he "recognizes there are problems" in the U.S. In retaliation to that China threatened to impose a 25% tariff on $50 billion worth of United States exports. Additionally, lawmakers took the Chinese to task for alleged transfers of USA intellectual property to Chinese firms. "So, it's really hard to know at this point what to expect from an outcome because it could be anything - or nothing, I guess", she said.

"It's China's responsibility to change its policies that are harming American businesses and workers and I am committed to continuing to work with them and the administration to help improve the US-China bilateral trade relationship", Hatch said.

"Nothing has happened with ZTE except as it pertains to the larger trade deal", Trump wrote on Twitter.