US-China trade Talks Near Close, Positive Signs

By: Yassmine ElSayed

CAIRO, Jan. 8 (SEE)- Chinese, US officials are to shortly conclude the latest round of trade talks in Beijing, where both sides signaled progress toward resolving a conflict that has roiled markets.

U.S. Commerce Secretary Wilbur Ross expressed optimism telling CNBC that “there’s a very good chance that we’ll get a reasonable settlement.” Vice Premier Liu He made an appearance at the talks in a sign the Chinese were also pushing for a positive outcome.

According to Bloomberg , Since the two presidents met on Dec. 1, China has made a number of concessions to U.S. demands, including temporarily cutting punitive tariffs on U.S.-made cars, resuming soybean purchases, promising to open up its markets for more foreign investment, and drafting a law to prevent forced technology transfers.

The US negotiators in Beijing are pushing the Chinese side to come up with a mechanism to ensure that Beijing keeps the promises it makes, the Wall Street Journal reported. That includes giving specific dates for making purchases, and making assurances that Beijing won’t hinder U.S. companies from gaining access to China’s market.

Six months after President Donald Trump first slapped tariffs on Chinese goods, signs are growing that the trade war is exacting an economic and financial cost, increasing the incentive for both sides to end the conflict.

But much work remains before the two economic powers climb down. Trump has given U.S. Trade Representative Lighthizer until March 1 to negotiate an accord with the Chinese on “structural changes” to Beijing’s state-driven economic model. The two sides have shown signs of common ground in the past year, only for progress to stall.