Home MarketsAsia Yellen and China’s Liu He discuss US technology policy in a one-on-one meeting

Yellen and China’s Liu He discuss US technology policy in a one-on-one meeting

by SuperiorInvest

US Treasury Secretary Janet Yellen and Chinese Vice Premier Liu He met in person for the first time in Zurich on January 18, 2023.

Sebastien Bozon | Afp | Getty Images

Beijing – Chinese Vice Premier Liu He discussed US economic and technology policy towards China in a meeting with US Treasury Secretary Janet Yellen on Wednesday, according to data from the Commerce Department.

China “hopes that the US side pays attention to the impact of policies on both sides,” the CNBC translation reads.

The Zurich meeting was Yellen and Liu’s first face-to-face meeting after three years of Covid-related travel restrictions.

This was announced by the US Department of Commerce’s Bureau of Industry and Security in October blanket bans on US businesses and individuals from working with Chinese partners on high-end semiconductors—a niche industry that relies on American and foreign tools for development. The ban followed the Trump administration’s restrictions on specific Chinese companies such as SMIC and Huawei.

The Biden administration also did not remove Trump-era tariffs on China.

While Beijing retaliated with its own tariffs, its most substantial response to the US technology bans was filed a dispute with the World Trade Organization in December.

Data from the US Treasury Department did not mention the technology. “During a frank, substantive and constructive conversation, they exchanged views on macroeconomic and financial developments,” the finance ministry said.

According to the data, Yellen “looks forward to traveling to China and welcoming her counterparts in the United States in the near future.”

A Chinese statement said it welcomed Yellen to visit China this year “at an appropriate time.”

Liu led China’s trade negotiations with the U.S. Within China, he is the vice-premier and head of the Financial Stability and Development Committee.

“To tame inflation, some countries have chosen policies that are likely to lead to a boom-recession-recovery loop,” Liu said in a speech this week at the World Economic Forum in Davos, Switzerland.

“We call for greater attention to the negative spillover effect of major rate hikes to emerging markets and developing countries so as not to add additional debt or financial risks,” he said.

Read more about China from CNBC Pro

As for China, Liu said that “high-quality economic development must always be our goal,” property support measures have proven effective, and the country will focus more on attracting foreign investment.

Foreign direct investment in China rose 8% in US dollar terms last year, China’s Ministry of Commerce said. The report noted a surge in investment from South Korea, Germany, the U.K. and the EU overall, but did not mention the U.S.

Liu turns 70 this month and is stepping down from China’s leadership, according to changes announced at a congress of the ruling Communist Party of China in October.

Analysts expect He Lifenghead of the National Development and Reform Commission to take over Liu’s role in leading financial and economic work.

Source Link

Related Posts

%d bloggers like this: