China confirms trade talks with U.S. beginning Monday

Share

American officials worry those might erode USA industrial leadership, and complain that China's technological prowess is underpinned by the theft of intellectual property from US firms.

Donald Trump and Xi Jinping had agreed to a 3-month cease fire amid rising trade tensions. -China trade war and a slowdown in demand hit production in many economies, offering little reason for optimism as the new year begins.

Despite the December truce, "most firms expect trade war to escalate", the report said.

"Apple makes its product in China".

Studies of trade-war impacts by the International Monetary Fund and the European Central Bank found the "likely impact on the U.S. economy to be significantly more negative than on China", analysts Janet Henry and James Pomeroy said in a research note.

Before the meeting with China in Argentina, USA was threatening to impose another round of trade tariffs of 25 percent instead of earlier 10 percent on Chinese goods that would cost additional $200 billion.

More news: Why Microsoft is leading the march toward a passwordless future
More news: 3 teams have better Super Bowl odds than Patriots
More news: Trump turns to 'Game of Thrones' to push for border wall

In the same year, late paramount leader, often credited with China's "Reform and Opening" policy which led to its economic transformation, met USA president in the United States. It said the American delegation will be led by the deputy USA trade representative, Jeffrey Gerrish, but offered no other details.

Since then, the case for peace has strengthened as economic risks in the US and China have grown and financial markets have reeled. Trump had been set to raise the tariffs on most of the Chinese goods on January 1. The Dow was off 5.6 percent for the year, with the broader Standard & Poor's index of 500 stocks down 6.2 percent.

What was hailed just a year ago as an era when the world's major economies would all grow together has evolved in a more volatile direction, with the United States juiced along by tax cuts and government spending while the rest of the world sputters. The International Monetary Fund estimates that China's economy grew about 6.6 per cent in 2018, down from 6.9 per cent in 2017. On Thursday, a key gauge of factory activity in the United States fell by the most in more than a decade in December as hiring and new orders slowed sharply. But economists say that is too little time to resolve the sprawling disputes that bedevil U.S.

Officials from the Trump administration will travel to Beijing for discussions to be held on Monday and Tuesday, with the ambition that both sides will be able to build on the agreement made in Buenos Aires.

Beijing last month said that negotiations would start by focusing on agricultural goods, energy and automobiles.

Share