GUANGZHOU, China (AP) — The United States and China have agreed to hold talks to address key U.S. complaints about China’s economic model, Treasury Secretary Janet Yellen said Saturday. Ta. official visit To China.
A US statement released after Yellen and Chinese Vice Premier He Lifeng held two days of extended talks in the southern city of Guangzhou said the two countries had “intensive exchanges of views” on more balanced economic growth. He plans to do so.
According to the US statement, the two countries also agreed to begin exchanges on anti-money laundering.
Yellen, who headed to Beijing after starting a five-day visit in one of China’s major industrial and export centers, called for an exchange on balanced growth to hear each other’s views and address issues. He said that a structure would be constructed to do so. american concerns Regarding China’s excess manufacturing capacity.
“China is concerned about how China’s industrial strategy could affect the United States, potentially flooding the Chinese market with exports and making it difficult for American companies to compete,” Yellen told reporters after the announcement. I think I understand what’s going on.”
“This problem is not going to be solved in a day or a month, but I think they’re hearing that this is an important issue for us.”
China’s official Xinhua news agency said the two countries agreed to discuss a wide range of issues, including the balanced growth of the U.S., Chinese and global economies, as well as cooperation on financial stability, sustainable finance and anti-money laundering.
China has fully addressed the issue of production capacity, it added in the initial document, without providing further details. According to Xinhua News Agency, China also expressed serious concerns about US trade and economic policies that restrict China.
Subsidies and other policy support from the Chinese government have facilitated the spread of solar panels. EV manufacturer China is investing in factories and building far more production capacity than its domestic market can absorb.
Large-scale production has reduced costs and sparked a price war on green technologies that benefits consumers and efforts to reduce global dependence on fossil fuels.but western government They fear that that capacity could flood the market with low-cost exports, threatening jobs in the United States and Europe.
“This will be critical to our bilateral relations going forward, and to China’s relations with other important countries. And this will be crucial for our bilateral relationship going forward, as well as for China’s relations with other important countries. And this will continue to be important as we continue to listen to each other and move forward into the future.” “It would provide a systematic way to see if we can find a way to avoid conflict,” Yellen told reporters.
The exchange on balanced growth and money laundering will be held under the framework of the existing Economic and Financial Working Group, which was established after Yellen met with He in July.
Yellen spoke positively of joint efforts to address U.S. concerns about Chinese companies selling goods to Russia in the wake of Russia’s invasion of Ukraine.
“We believe there is more work to do, but we see this as an area where we have agreed to work together, and we are already seeing meaningful progress,” she said.
Previous state media reports about her visit characterized U.S. concerns about overcapacity as a possible pretext for tariffs. In a commentary published Friday night, Xinhua News Agency said that while Yellen’s visit was a good sign that the world’s two largest economies were maintaining communication, “China’s overcapacity in the clean energy sector” There is a feeling that bringing this up is creating an excuse to develop more protectionism.” This is a policy designed to protect American companies. ”
Yellen told reporters during a refueling stop in Alaska on her way to China that the U.S. “intends to eliminate tariffs” to counter China’s heavily subsidized production of green energy products. No,” he said.
The United States has sought to divest from certain Chinese technologies through legislation and executive orders in order to increase domestic manufacturing capacity. The White House and many members of Congress believe this action is important to maintaining national security.
$280 billion CHIPS and scientific law The bill, which is expected to be passed in 2022, aims to boost the semiconductor industry and scientific research to create more high-tech jobs in the United States and make it more competitive with China.Furthermore, in August last year, US President Joe Biden signed an executive order Prevent and regulate U.S.-based high-tech investments in China.
Yellen will hold meetings with senior officials and economists in Beijing on Sunday and Monday.
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Mr. Moritsugu reported from Beijing.