China Premier Li Keqiang is optimistic on US-China relations

Virginia Carson
November 3, 2018

It was "hard to know what Trump wants most from China" because of a fragmented administration that had yet to strike a balance among the priorities of various vested interest groups, he said.

Tensions have increased in recent months with United States officials accusing China of meddling in the U.S. midterm elections, conducting cyber espionage and military aggression.

Trump, who began targeting China's trade policies before he entered office, has imposed three rounds of tariffs on Chinese products worth more than $250bn since the beginning of his administration.

The U.S. president said Wednesday that he'd like to sit down and make a "fair deal" with China on trade that would eliminate the need for the massive tariffs he's put on the nation. The Chinese president also said he would like to meet Trump at the G20.

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WASHINGTON-The White House's top economic adviser said on November 1 that if China does not come up with a satisfactory offer to meet USA trade demands, then President Donald Trump will continue to aggressively pursue his agenda. These include outright cybertheft and forcing USA companies to hand over trade secrets as the price of admission to the Chinese market.

"Dollar moderation, the stabilising trade relationship between USA and China and more stimulus from Beijing will be the key ingredients to revive market confidence in Asia".

The leaders of the world's two largest economies made the remarks after their first publicly disclosed telephone conversation in nearly six months.

The possible warming of relations comes after months of escalating tensions over trade that are threatening to spill into other areas of disagreement, including freedom of navigation in the South China Sea.

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The two countries have imposed tariffs on hundreds of-billions of dollars of each other's goods and Trump has threatened to put tariffs on the remainder of China's $500-billion-plus exports to the United States if the disputes can not be resolved.

The two countries already have imposed tariffs on hundreds of billions of dollars of each other's goods and Trump has threatened to slap tariffs on the remainder of China's $US500 billion-plus ($A690b) exports to the United States if the disputes can not be resolved.

In comments to state media, Xi said he hoped China and the United States would be able to promote a steady and healthy relationship, and that he was willing to meet with Trump in Argentina. -China trade talks can not resume until Beijing outlines specific actions it would take to meet US demands for sweeping changes to policies on technology transfers, industrial subsidies and market access. "But the tariffs already imposed will not go away", Tu said. "Those discussions are moving along nicely with meetings being scheduled at the G20 in Argentina. We're doing better than we've ever done". "We are not on the cusp of a deal", Kudlow said. In response, Beijing said it would impose taxes on 5,207 USA imports worth about $60 billion.

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