BEIJING / OSAKA (Reuters) – China and the United States will have a long way to go before they can reach an agreement to end their bitter trade war, with probably more future struggles, Chinese media said after the two presidents countries have had thaw talks in Japan.
US President Donald Trump and Chinese President Xi Jinping pose for a photo before their bilateral meeting at the G20 leaders' summit in Osaka, Japan, on June 29, 2019. REUTERS / Kevin Lamarque
The two largest economies in the world are in the midst of a bitter trade war, which has seen them increase their increasingly stringent tariffs on mutual imports.
As a sign of significant progress in Saturday's reports, Chinese President Xi Jinping and US President Donald Trump, on the sidelines of the G20 summit in Osaka, agreed on a ceasefire and a return to talks.
However, the official China Daily, an English-language newspaper often used by Beijing to spread its message to the rest of the world, warned that there was now a greater chance of reaching an agreement, there is no guarantee. that there is one.
"Although Washington has agreed to postpone the imposition of additional tariffs on Chinese products to make way for the negotiations, and Trump also hinted to postpone decisions on Huawei until the end of the negotiations, things are still very high" , he said in an editorial late Saturday.
"The agreement on 90 percent of the problems proved to be not enough, and with the remaining 10 percent residing in their fundamental differences, it will not be easy to reach a 100 percent consensus, since at this point they remain largely apart even at the conceptual level. "
Trump also offered an olive branch to Xi on Huawei Technologies Co, the world's largest manufacturer of telecommunications network equipment. The Trump administration claimed that the Chinese company poses a risk to national security, given its close relationship with the Chinese government, and has exerted pressure on US allies to keep Huawei out of telecommunications infrastructure 5G next generation.
The main diplomat of the Chinese government, State Councilor Wang Yi, in a long statement on the G20 issued by the Foreign Ministry after the delegation returned to Beijing, said the Xi-Trump meeting sent a "positive signal" to the world.
Although problems remain between the two countries, China is confident as long as they both follow the consensus reached by their leaders to resolve their problems based on mutual respect, Wang said in a statement released Saturday.
Trump's comments on Huawei, made at a press conference of more than one now in Osaka after his sit-down with Xi, generated only a cautious welcome from China. The word "Huawei" was not mentioned at all in the diplomatic evaluation of the G20.
Wang Xiaolong, special envoy of the Foreign Ministry of G20 affairs and head of the ministry's department of international economic affairs, said that if the United States does what they say about Huawei, China would obviously accept.
"Putting restrictions on areas beyond technology and economic factors will surely lead to a situation of defeat. So if the American side can do what it says, we will certainly appreciate it," Wang told reporters.
The pause in tensions is likely to be welcomed by the business community and the markets, which fainted on both sides of the Pacific due to the trade war.
Jacob Parker, vice president of Chinese operations at the U.S.-China Business Council, said the return to the talks was good news for the business community and added the necessary certainty to "a report that is slowly getting worse".
"Now comes the hard work of finding a consensus on the most difficult problems of the relationship, but with a commitment from the top we think that this will bring the two parties into a constant path of resolution".
China's position in the progress of trade war has become increasingly strident, stating that it would not be bullied, would not succumb to pressure and that it would "fight to the end".
Taoran Notes, an influential WeChat account run by the China Economic Daily, said the United States was now aware that China would not give up and that tariffs for Chinese products were increasingly unpopular.
"We have said it before: communication and friction between China and the United States are a long-term thing, difficult and complex. Fighting then talking, fighting, then talking, is the normal state of affairs", has He said.
Reporting by Ben Blanchard and Michael Martina; Editing by Sam Holmes
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