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Yellen discusses with China VP trade imbalances, overcapacity concerns

  • By Al Mayadeen English
  • Source: Agencies
  • 5 Apr 2024 21:18
  • 1 Shares
3 Min Read

Prior to the meeting, the US Treasury quoted Yellen as expressing Washington's desire for enhanced communication with Beijing on overcapacity concerns and national security-related economic actions.

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  • yellen
    Visiting U.S. Treasury Secretary Janet Yellen, left, and Chinese Vice Premier He Lifeng, right, arrive for a bilateral meeting at the Guangdong Zhudao Guest House in southern China's Guangdong province, Friday, April 5, 2024. (AP)

On Friday, US Treasury Secretary Janet Yellen was hosted by Chinese Vice Premier He Lifeng in the southeastern city of Guangzhou for discussions on 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 substantial. This marked 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.

Read more: Yellen: decoupling US-China economies 'virtually impossible'

Before the meeting, the Treasury quoted her as expressing Washington's desire for enhanced communication with Beijing regarding issues of overcapacity and economic actions related to national security.

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"The United States seeks a healthy economic relationship with China that benefits both sides. But a healthy economic relationship must provide a level playing field for firms and workers in both countries," she said.

On Thursday, Yellen began her five-day visit to China, engaging in meetings throughout the day. She met with Guangdong Governor Wang Weizhong and American business executives to explore the benefits and challenges of their economic collaboration.

Chip war ongoing

Despite China's adherence to all the rules in the book, its rise has increasingly been perceived as a threat to Western economic supremacy. 

Not only the US has been arming Taiwan, but it has also waged a trade war against China over the production of semiconductors.

Yesterday, news reports revealed that the Biden administration plans to press the Netherlands against supplying China with microchips manufactured by Dutch chipmaking equipment maker ASML.

The United States export policy chief, Alan Estevez, is expected to arrive in the Netherlands on Monday for talks with the Dutch government officials and representatives from ASML, to persuade them against extending technical services to China, Reuters reported.

Washington might also sanction certain Chinese manufacturers to prevent ASML exports, informed sources on the talks between the US and the Netherlands relayed.

Read more: China asserts global role as 'force for peace'

  • He Lifeng
  • US Treasury
  • China
  • Janet Yellen

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