A new twist in the trade dispute between China and the U.S. After days of harsh words, the two sides are now quietly searching for a resolution.
Reports that Beijing and Washington are negotiating greater access to Chinese markets sent U.S. stock prices soaring. CGTN’S Toby Muse has more.
China and the U.S. are in talks to avoid a possible trade war, with both sides expressing optimism that a deal can be reached.
The big three U.S. markets rebounded Monday. The Dow closed nearly 670 points higher. The S&P 500 and NASDAQ closed higher, too. Optimistic messages from both Washington and Beijing apparently eased investor fears.
“The United States should understand that in the twenty-first century, international trade needs more rules than power,” said Hua Chunying with China’s Ministry of Foreign Affairs. “China has always obeyed the rules of global trade, and we have always advocated equality and mutual benefit, and settle the differences through dialogue. As a matter of fact, China and the United States have been negotiating. China is certain that it can safeguard its own interests.”
President Donald Trump plans to slap tariffs on around $50-60 billion worth of Chinese goods. The administration said the plan is to reduce the trade deficit by roughly a third, a decrease of $100 billion this year.
At a conference in Beijing Chinese Premier Li Keqiang repeated pledges to ease access to Chinese markets for American businesses.
In a statement, he said “With regard to trade imbalances, China and the United States should adopt a pragmatic and rational attitude, promote balancing through expansion of trade, and stick to negotiations to resolve differences and friction.”
Li says China would not force foreign firms to transfer their proprietary technologies and would strengthen intellectual property rights—two issues at the heart of U-S complaints against China.
U.S. officials said they’re determined to press China to lower tariffs on cars and open up its financial services sector. That’s according to reports in the Wall Street Journal. U.S. Treasury Secretary Steve Mnuchin is reportedly considering a visit to Beijing to advance the talks.
David Nelson talks about China-US trade negotiations
CGTN’s Mike Walter talks with David Nelson, chief strategist with Belpointe Asset Management, about the trade negotiations between China and the U.S.