China plays down US trade tensions

Before what Donald Trump warns could be a "very difficult" meeting with his Chinese counterpart, Beijing has sought to play down Sino-US tensions.

US President Donald J. Trump

US President Donald Trump expects a meeting with his Chinese counterpart to be "very difficult". Source: AAP

Beijing has played down tensions with the US after the American administration slammed China on a range of business issues before President Xi Jinping's first meeting with President Donald Trump.

Trump set the tone for what could be a tense meeting at his Mar-a-Lago retreat next week by tweeting on Thursday the US could no longer tolerate massive trade deficits and job losses.

Trump said his first face-to-face meeting with Xi, which is also expected to cover differences over North Korea and China's strategic ambitions in the South China Sea, "will be a very difficult one".

Before the meeting, Trump will sign executive orders on Friday aimed at identifying abuses that are causing massive US trade deficits and clamping down on non-payment of anti-dumping and anti-subsidy duties on imports.

Seeking to downplay the rift, Chinese Foreign Ministry spokesman Lu Kang repeated a desire for co-operation on trade.

"With regard to the problems existing between China and the United States in trade relations, both sides should in a mutual respectful and mutual beneficial way find appropriate resolutions, and ensure the stable development of Sino-US trade relations," he told a daily news briefing.

Speaking earlier at a briefing on the Xi-Trump meeting, Chinese Vice-Foreign Minister Zheng Zeguang acknowledged the trade imbalance but said it was mostly due to differences in their two economic structures and noted that China had a trade deficit in services.

"China does not deliberately seek a trade surplus. We also have no intention of carrying out competitive currency devaluation to stimulate exports. This is not our policy," Zheng said.


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Source: AAP


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China plays down US trade tensions | SBS News