China issues statement on Sino-US trade talks

China issues statement on Sino-US trade talks

The warning came following a meeting between US Commerce Secretary Wilbur Ross and Chinese Vice Premier Liu He in Beijing.

The tone of the statement suggested that China's concessions at last month's talks in Washington were not enough for the Trump administration, says BBC Asia Business correspondent Karishma Vaswani.

A statement released by the Chinese side at the talks with the U.S. in Beijing said nothing specific about the outcome, and referred back to an agreement reached in Washington last month to increase purchase of United States goods and services.

Private sector analysts say that while Beijing is willing to compromise on its trade surplus, it will resist changes that might threaten plans to transform China into a global technology competitor.

China's Foreign Minister Wang Yi shakes hands with US Secretary of State Mike Pompeo after their meeting and joint news conference at the State Department in Washington, U.S., May 23, 2018.

Trump has threatened to raise tariffs on a total of up to $150 billion of Chinese goods.

The Xinhua statement instead said that details of implementing the Washington consensus were subject to confirmation by both sides.

Trade analysts had warned the US' hand might be weakened by its decision to go ahead with tariffs on steel and aluminum imports from Canada, Europe and Mexico.

"Tariffs and expanding exports - the United States can't have both", the paper said. China's willingness to buy more American products and allow U.S. investments with IPR protections raised hopes of an agreement, which led to current round of talks in Beijing.

US to slap steel and aluminium tariffs on Canada, Mexico
Canada is the biggest supplier of both metals to the United States, with the value of shipments close to $20-billion annually. Mr Trump has said the tariffs are needed to protect U.S. steel and aluminium industries vital to the nation's security.

Ross had a working dinner Saturday evening with Liu, also at the same guesthouse in Beijing. But the United States Commerce Secretary appeared to be the only one in a positive mood.

Ross told reporters following a meeting Sunday with Vice Premier Liu He that the encounter had been "friendly and frank, and covered some useful topics about specific export items". Ross is expected to seek a firmer commitment to buy more American farm goods, energy and other products and services. "This is about structural changes", Mnuchin said Saturday.

Some people familiar with the matter have told Reuters that approval may depend on progress of broader talks and a reprieve from a USA government ban on sales by US companies to China's ZTE Corp, penalised for illegally supplying telecommunications gear to Iran and North Korea.

Trump has pledged to reduce this as well as curtailing President Xi Jinping's "Made in China 2025" program, which will turn the world's second-largest economy into a technological powerhouse.

"There are structural changes that allow our companies to compete fairly".

The two governments released no schedule for the talks, but China said earlier Ross was due to be in Beijing through to Monday.

There was also anger at the G7 meeting of finance ministers after last weekend's decision by the U.S. to impose 25% steel tariffs and 10% aluminum duty on the EU, Canada and Mexico.

At the meetings last week between lower-level Chinese and US officials, negotiations almost stalled as the two sides failed to reach an agreement on details for increasing Chinese purchases of USA crude oil, soybeans, natural gas, beef, and poultry.

The U.S. team had also wanted to secure greater intellectual property protection and an end to Chinese subsidies that have contributed to overproduction of steel and aluminum.

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