Sino-U.S. Economic Negotiations Are Back On Track
Both parties agree to solve problems for producers and consumers in a pragmatic way Gao Feng, Sino-U.S a spokesperson for the Ministry of Commerce, said at a media briefing on Thursday that China and the United States have begun normal communication in the economic and trade field and agreed to work together to solve problems for producers and consumers in a pragmatic manner.
When talking about the video talks between Vice Premier Liu He and U.S. Trade Representative Katherine Tai and U.S. Treasury Secretary Janet Yellen, Gao said that in the spirit of equality and mutual respect. China and the United States exchanged views on economic and trade relations, macroeconomic situation and domestic policies.
Both sides believe that this exchange is professional, frank and constructive. The economic and trade exchanges between the two countries have returned to normal.
Liu Xiaobo, member of the Political Bureau of the CPC Central Committee.
The Chinese leader of the China-US Comprehensive Economic Dialogue, had a video call with Dai Bingguo on May 27 and Yellen on Wednesday.
The two sides believe that China-US economic and trade relations are very important. There are many specific areas of cooperation, and they have also raised their respective concerns. China has expressed specific concerns and fully considered the domestic economic development situation, Gao said.
“The two sides agreed to jointly promote pragmatic solutions to the specific problems of producers and consumers from the perspective of benefiting China. The United States and the world, and promote the healthy and stable development of Sino-US economic and trade relations. The next step.”
Experts said that since the United States and China are the world’s two largest economies. a healthy Sino-US economic and trade relationship is not only important for the two countries, but also for the recovery of the world economy during the COVID-19 pandemic.
Experts said that to pragmatically “solve specific problems for producers and consumers,” tariff rollbacks are crucial. Especially for US producers and consumers, whose tariff hikes will hit them much more than their Chinese counterparts. .
Tu Xinquan, Dean of the China WTO Research Institute at the University of International Business and Economics,
said: “The United States hopes to reduce its trade deficit with China by imposing tariffs on Chinese goods. Transferring costs to Chinese exporters, and forcing companies to transfer. Their supply chain activities from China to The United States or other countries.
“But this expectation fell through, and soaring tariffs hurt the competitiveness of American companies. Dragged down the development of the U.S. economy, and hurt the American people because of higher product prices and reduced job opportunities.”
Tu Youyou quoted a recent report by Moody’s Investors Service, a rating agency. As saying that the US trade deficit with China has increased, and US companies are the first to be affected by the increase in tariffs on Chinese goods.
At the same time, due to the lack of better or cheaper alternatives. American consumers have to pay more for Chinese goods such as clothes, electronics, and furniture, and tariffs on Chinese intermediate products have increased the production costs of American companies. , Which harmed their interests. Ability, Tu said. He added that this has also led to higher inflation and reduced employment.
Tu said that China surpassed the United States to become the world’s largest destination for foreign direct investment flows last year. Which shows that attempts to drive supply chain activities out of China are futile.