(AFP) – China and the US held what both sides described Monday as constructive talks aimed at addressing volatile trade ties that have been upended by President Donald Trump’s tariffs and the Middle East war. The talks in the French capital “were constructive and they show the stability of the relationship,” US Treasury Secretary Scott Bessent told journalists. Chinese state media described the Sunday talks between Bessent and Chinese Vice Premier He Lifeng as “candid, in-depth and constructive.” He said the exchange would inject “greater certainty and stability” into bilateral trade ties and the global economy, according to Xinhua.
The Paris meeting was widely seen as setting the stage for Trump to visit China for a summit with its President Xi Jinping. The trip was initially planned from March 31 to April 2, but US officials confirmed Monday that it was likely to be delayed due to Washington’s war on Iran. Beijing said Monday it was in talks with Washington over the visit by Trump, who has pressured NATO allies including China to help reopen the Strait of Hormuz. Earlier, Trump had suggested he could delay a meeting with Xi if Beijing does not assist in reopening the strait. The waterway, critical to oil transportation, has been effectively closed by Iran in retaliation over the US and Israeli war against Tehran.
Beijing’s foreign ministry said on Monday that Beijing and Washington “are maintaining communication regarding President Trump’s visit to China.” “Head-of-state diplomacy plays an irreplaceable strategic guiding role in China-US relations,” spokesman Lin Jian told a press conference. Lin did not address Trump’s recent pressure on NATO allies and China to assist in Hormuz. The “tense situation” in the strait has “disrupted international trade routes for goods and energy,” Lin said when asked about Trump’s comments.
– Probes and tariffs –
The Paris talks follow a turbulent year in US-China economic ties since Trump returned to the presidency. The United States announced new trade investigations last week into excess industrial capacity, targeting 60 economies including China and other key partners. The prospect has fuelled the possibility of further tariffs after the Supreme Court struck down Trump’s global duties. The probes will look into “failures to take action on forced labour” and whether these burden or restrict US commerce, according to US officials.
Greer said his team gave the Chinese “a preview of what we’re doing on US trade policy as we adjust to the Supreme Court.” “The president’s trade policy hasn’t changed, our tools may change, and we’re conducting these investigations,” he added. “We don’t want to prejudge them, and we had a good conversation with our counterparts about that process.”
Beijing said on Monday that it “lodged representations” and urged Washington to “correct its erroneous” trade practices. “We urge the US side to immediately correct its erroneous ways, meet China halfway… and resolve issues through dialogue and negotiations,” Beijing’s commerce ministry said in a statement. The latest round of investigations “is extremely unilateral, arbitrary and discriminatory,” it said, accusing Washington of “attempting to construct trade barriers.” Li also reiterated on Monday that China firmly opposed such “unilateral” probes, Xinhua reported.
Global oil prices have surged by 40 to 50 percent since the war began, with Hormuz choked off and Iran’s attacks on energy and shipping industry targets in its Gulf neighbours. Experts say that China, which maintains large oil reserves, is better equipped than many other nations to deal with the impact of the war. But it has reason to be concerned about the consequences of the situation in the Middle East on trade. China’s official trade data for January and February, before the war in Iran began, showed that the country’s economy is largely buoyed by exports and international trade.
© 2024 AFP
