U.S. seeks trade thaw with China, but Beijing sets terms
The US President is hoping to reach an agreement with China on tariffs and has urgently requested a phone conversation with Beijing on this matter. China is open to trade talks with Washington, although they have laid out specific conditions.
What do you need to know?
- China is ready for trade talks with the USA, but they have set specific conditions for the Trump administration. According to bloomberg.com, negotiations cannot commence until Washington demonstrates its readiness and meets Beijing's expectations.
- China demands consistency in US policy, particularly concerning Taiwan and technological development.
- China expects the appointment of a liaison for negotiations who will have the support of President Trump.
What conditions is China setting?
China has indicated its willingness to hold trade talks with the USA, but only under specific conditions. Beijing calls for more respect from Donald Trump's administration and a withdrawal of derogatory comments made by cabinet members. A statement by JD Vance, who referred to the Chinese as "peasants," elicited a strong reaction from Beijing.
What else does Beijing expect?
Beijing also demands a more consistent US stance on issues such as Taiwan. Additionally, they expect clear declarations concerning technological development plans. The United States is currently hindering China’s access to the latest technologies, which remains a point of contention. China wants the USA to appoint a contact person for negotiations who will have the support of President Trump.
What are the current trade relations?
At present, trade relations between the USA and China are strained. The United States has imposed high tariffs on Chinese goods, and Beijing has reciprocated by raising tariffs on American products. The tariffs on imports from China to the USA are 145 percent, and China’s retaliatory tariffs on American goods are 125 percent.
