A United States negotiating team is in China, preparing for the next round of trade and investment talks.
The team’s arrival comes just a day after the United States surprised Beijing by announcing that it will move forward with a tariff of 25 percent on $50 billion worth of Chinese imports and unveil investment and export restrictions on hi-technology.
U.S. Commerce Secretary Wilbur Ross is set to travel to Beijing at the weekend amid growing tensions.
CGTN’sNathan King reports.
The U.S. Commerce Secretary Wilbur Ross’ talks in Beijing were meant to flesh out a potential deal with China on the purchase of more U.S. goods from agriculture to energy.
But that was before the U.S. said it will unveil new potential investment restrictions in the hi-technology sector by the end of June and start imposing tariffs as early as mid-June.
China hawk White House Director of Trade and Policy Peter Navarro was largely absent from last week’s talks in Washington led by Liu He, China’s top economic advisor. Navarro has now been on U.S. media selling the U.S. President’s latest turnaround on trade.
“The statement yesterday “historic” in nature is twofold one the President is going to levy a 25 percent tariff on $50 billion worth of Chinese exports to us. Those exports are precisely the exports in the China 2025 industries.”, said Peter Navarro the White House Director of Trade and Industrial Policy.
The other area the U.S. is targeting is China’s acquisition of high technology know how either by legitimate investments or what the U.S. labels intellectual property theft and forced technology transfers.
Meanwhile, Beijing said the sudden hardening of the United States position ahead of the 3rd rounds of talks will only damage United States credibility.
“When it comes to international relations, each and every flip-flop will only lead to further depletion and squandering of a country’s credibility and reputation. The U.S.’ statement explicitly runs against the consensus it reached with the Chinese side in Washington D.C. not long ago. We urge the U.S. to honor its words and meet China halfway in the spirit of our joint statement.”, said Hua Chunying of the Chinese foreign ministry.
If the new tough approach by the U.S. trade team is a negotiating tactic, China is warning it won’t back down.
“Once again, we don’t want a trade war, but will never quail or recoil from a trade war. One move can always be countered by another. If the U.S. is bent on having its own way, we will surely take firm and forceful measures to safeguard our legitimate rights and interests.”, said Hua Chunying of the Chinese foreign ministry.
Marc Ross discusses the latest US-China trade tensions
CGTN’s Jessica Stone spoke with Marc Ross on the latest trade actions between US and China. Ross is the founder of Caracal Global, a strategic communications firm based in Washington D.C.
Ronce Almond of The Wicks Group discusses latest U.S.-China trade tensions
CGTN’s Mike Walter spoke with Ronce Almond about the latest updates in the US-China trade dispute.