This ‘may be the start of the long haul’ in crossing the US-China trade divide
- Washington and Beijing remain far apart on core issues and will alternate between conflict and talks, observers say
China and the United States have a huge divide to bridge in their trade war talks and it could take a long time to reach a deal acceptable to both sides, observers said.
Capping an 11th round of trade talks in Washington on Friday, Vice-Premier Liu He outlined what he said were the three major differences between both sides.
Liu said Beijing required a complete removal of tariffs, a realistic scale of Chinese purchases of American products and a deal that would not undermine China’s sovereignty and dignity.
Liu’s comments came after the US raised tariffs on US$200 billion of Chinese products to 25 per cent from 10 per cent.
US President Donald Trump also ordered the Office of the US Trade Representative to start the process of imposing punitive tariffs on the US$300 billion or so in remaining US imports of Chinese products.
There are signs that Beijing could be preparing for the long haul, with Communist Party mouthpiece People’s Daily saying on Saturday that it took 15 years of marathon talks before China’s joined the World Trade Organisation in 2001.