Kudlow: US 'Looking for a Deal' With China on Trade
15 May, 2018, 22:33 | Author: Jason Torres
The Chinese Commerce Ministry said State Council Vice Premier, Liu He, would arrive in the US on Tuesday for trade negotiations. The actions may be linked, and may bear on agricultural trade as well, although Commerce Secretary Wilbur Ross on May 14, 2018 insisted that the sanctions against ZTE had "nothing to do with trade".
"President Xi of China, and I, are working together to give massive Chinese phone company, ZTE, a way to get back into business, fast", Trump tweeted.
The United States is not seeking a trade war with China and top US officials are looking to make a deal with Beijing, White House economic adviser Larry Kudlow said on Tuesday as talks between the two nations were set to resume. The U.S. accused ZTE of misleading American regulators after it settled charges of violating sanctions against North Korea and Iran.
One area the world's two most powerful economies likely won't be able to address during discussions this week is China's practice of what is known as technology mercantilism, in which it distorts policies and systems in order to expand domestic technology production.
Global shares were mixed in muted trading Tuesday amid continuing uncertainty over trade tensions between China and the U.S. Investors were watching for U.S. retail sales data due out later in the day. "We're still very far apart", U.S. Ambassador to China Terry Branstad said, according to Reuters.
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Kudlow also said that the United States and China should both take down trade barriers as part of any agreement.
Despite now ceasing main business operations, China's second biggest telecom equipment maker is still trying to have the ban modified or reversed. Officials from Beijing are expected to arrive in D.C. armed with a list of items they will offer to import from the U.S.to meet that goal, The Wall Street Journal reported. USA companies that export to China have seen their goods held up at China's ports amid tougher inspections. By cutting off access to USA suppliers of essential components such as microchips, the ban threatens ZTE's existence, the company has said.
The first round of trade talks between China and the USA took place in Beijing on May 3 to 4.
When US President Donald Trump talks about saving jobs, it is usually American jobs he is making promises about. "So they can't say they don't know what we're asking for", he said. Trump appears willing to negotiate, and just over the weekend announced his intention to help Chinese electronics maker ZTE, which was on the brink of collapse after USA imposed penalties on it last month for breaking sanctions against Iran and North Korea. "But be cool, it will all work out!"
California Rep. Adam Schiff, the top Democrat on the intelligence committee, criticized Trump for softening his stance on ZTE.
President Donald Trump said in a tweet Sunday that he's working to give China's ZTE "a way to get back into business, fast". The president has taken a tough stance on what his administration deems unfair trade practices by the Chinese government.
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