US, China to launch exchanges on balanced growth, money laundering
3 Min Read
The United States and China have agreed to hold "intensive exchanges on balanced growth", the US Treasury Department said.
-
Treasury Secretary Janet Yellen, center, testifies during a Senate Finance hearing to examine the President's proposed budget request for fiscal year 2025 on Capitol Hill on March 21, 2024, in Washington. (AP)
On Saturday, US Treasury Secretary Janet Yellen announced that she and Chinese Vice Premier He Lifeng had agreed to initiate discussions regarding achieving balanced growth in domestic and global economies. She noted that this initiative intends to address American apprehensions regarding China's surplus manufacturing capacity.
Following two days of economic discussions held in Guangzhou, China's prominent export hub, Yellen stated that she and He agreed to establish a forum to collaborate on anti-money laundering initiatives within their respective financial systems.
Yellen commented in a statement released after the talks that these exchanges "will facilitate a discussion around macroeconomic imbalances, including their connection to overcapacity, and I intend to use the opportunity to advocate for a level playing field for American workers and firms."
Read next: Yellen: decoupling US-China economies 'virtually impossible'
She described the discussions as productive and candid. Before her four-day visit to China, her primary focus was to persuade Chinese officials to address the issue of excess production capacity, particularly in electric vehicles, solar panels, and other clean energy technologies, which threaten competing firms in the US and other nations.
In an editorial released late on Friday, state news agency Xinhua criticized such remarks, asserting that they aim to undermine China's domestic development and international collaboration. Xinhua suggested that Washington should prioritize fostering innovation and competitiveness within its borders, instead of "fear-mongering."
Yellen, He Lifeng, and their respective teams engaged in meetings totaling over four and a half hours on Saturday, covering a spectrum of economic issues. The Treasury chief's primary focus was addressing US concerns regarding China's increasing exports of electric vehicles, solar panels, and other commodities.
Yellen is expected to address reporters later today.
Yellen discusses with China VP trade imbalances
On Friday, US Treasury Secretary Janet Yellen was hosted by Chinese Vice Premier He Lifeng in the southeastern city of Guangzhou to discuss economic cooperation.
"The main goal of today's meeting is to implement important agreements reached during in-person and phone talks between our leaders," He was quoted as saying by state broadcaster CGTN.
Yellen said the discussion was frank and substantialm marking her third in-person meeting with He Lifeng in under a year.
"I opened meetings with Vice Premier He Lifeng for frank and substantive conversations on our bilateral economic relationship. It is crucial that the two largest economies in the world seek progress on global challenges and closely communicate on areas of concern," she said on social media.
