The United States and China had a conference to improve their relations and enhance their trade relations on Wednesday but it seems that they share differences in opinion due to strategic and economic relations of Donald Trump with Beijing. This seems to have taken an unexpected turn in the conference between the US and China which abruptly ended without any news conferences or any output explanation of any joint statement about the potential of China trying to have an excess of the US market. Although the conference didn’t highlight tension or heated argument between the leaders of these two countries but possibly had a lot of differences with the acceptance of conditions in relation to bilateral trades and other issues like economic and other trade issues.
China is a potential market for financial services and the US expect a green signal for entering this sector but is hesitant to allow excess dumping the steel in the US market. They were certain other conditions like the US expected China to remove the cap of investments for foreign companies in Chinese companies, auto tariffs should be reduced; China should reduce the restrictions in data localization and reducing the subsidies given to all the state owned enterprises. The U.S. Treasury Secretary Steven Mnuchin and U.S. Commerce Secretary Wilbur Ross have given a statement while highlighting that the US and China has agreed to many points of trade deficit agreement and would work collectively and cooperate with each other to bridge the gap.
The differences of opinion went deep enough and the tension aroused as China is already under high pressure from their home government and cannot afford to mix things at the cost of Beijing. The US has intentions to increase the tariffs on importing of Chinese steel after a particular limit so that they can curb the import to a particular extent. Even through trade related issues have remained the primary reason for the disagreement and difference in their opinion but they surely have a common view in regards to the investments and ensure to provide maximum cooperation from both ends.
The US and Chinese top 20 executives including Alibaba CEO, Jack Maa and Blackstone Group CEO Stephen Schwarzman have already entered into an agreement to increase the volume of bilateral trade through import and export of goods and services. They are confident about this agreement and consider this as an opportunity which would be beneficial for the people living in both the countries in the long run.