Archive for ‘President Donald Trump’

03/10/2019

China welcomes DPRK and U.S. resuming dialogue: spokesperson

BEIJING, Oct. 2 (Xinhua) — China on Wednesday said it welcomes the statements of the Democratic People’s Republic of Korea (DPRK) and the United States to resume dialogue and hopes the two sides will grasp the opportunity to strive for positive outcomes.

Foreign Ministry spokesperson Hua Chunying made the comments in a press statement issued Wednesday night.

“We have noticed the statements made by both the DPRK and the United States on resuming contact and dialogue. We welcome that,” said Hua.

China has always supported the DPRK-U.S. dialogue and a political settlement of the Korean Peninsula issue, said Hua.

“Under current circumstances, we hope both the DPRK and the United States will grasp the opportunity and meet each other halfway to achieve positive results from the dialogue,” she said.

DPRK First Vice Foreign Minister Choe Son Hui said in a statement on Tuesday that Pyongyang and Washington have agreed to have preliminary contact on Oct. 4 and hold working-level talks on Oct. 5. It is said the U.S. has confirmed this.

The denuclearization talks between Pyongyang and Washington have hit a stalemate since the second summit between top DPRK leader Kim Jong Un and U.S. President Donald Trump in Hanoi in February ended without any agreement.

Source: Xinhua

28/09/2019

China set to join Arms Trade Treaty that Donald Trump threatened to abandon

  • Legal process under way, Beijing says after Foreign Minister Wang Yi tells United Nations China is committed to defending multilateralism
  • Any unilateral move to leave weapons control pact will have a ‘negative impact in various areas’, minister says in thinly veiled swipe at United States
China, the world’s fifth-largest weapons supplier, has signed up to a global arms control treaty. Photo: Simon Song
China, the world’s fifth-largest weapons supplier, has signed up to a global arms control treaty. Photo: Simon Song

China said it has begun preparations to join an international arms control treaty that the United States has threatened to abandon, while also warning Washington against deploying missiles in the Asia-Pacific region.

Speaking at the United Nations General Assembly in New York on Friday, Chinese Foreign Minister Wang Yi said that signing up to the Arms Trade Treaty (ATT) was further evidence of Beijing’s commitment to defending multilateralism.

US President Donald Trump

said in April that he intended to withdraw from the pact, which regulates the US$70 billion global trade in conventional arms.

The White House said at the time that the ATT “will only constrain responsible countries while allowing the irresponsible arms trade to continue”, as major arms exporters like Russia and China were not part of it.

Wang said on Friday that any unilateral move to leave the treaty would have a “negative impact in various areas”. He stopped short of naming the United States or its president.

China’s foreign ministry said in a statement on Saturday that it had begun the legal process of joining the treaty, adding that it attached great importance to the issues caused by the illegal sale and misuse of arms, and supported the aims of the ATT in seeking to regulate the international weapons trade.

Wang also spoke out against the possible deployment of ground-launched missiles in the Asia-Pacific region.

After withdrawing from the Intermediate-Range Nuclear Forces Treaty in August, the US said it was planning to deploy such weapons in Asia to counter any possible threat from China or Russia.
“[We] urge the country with the largest nuclear weapons to fulfil its special and prior responsibilities on nuclear disarmament,” Wang said, adding that “China will continue to participate in the international arms control process”.
Wang Yi spoke out against the possible deployment of ground-launched missiles in the Asia-Pacific region at the UN General Assembly in New York on Friday. Photo: AFP
Wang Yi spoke out against the possible deployment of ground-launched missiles in the Asia-Pacific region at the UN General Assembly in New York on Friday. Photo: AFP

According to figures released in May by the Stockholm International Peace Research Institute, the United States is the world’s largest arms exporter, supplying weapons worth 58 per cent more than those of its nearest competitor, Russia.

Together with France, Germany and China, the five nations accounted for 75 per cent of all weapons sold around the world between 2014 and last year, the institute said.

Although China is among the world’s big five arms suppliers, its sales – most of which go to Asia and Oceania – are dwarfed by those of the US, accounting for just 5.2 per cent of the 2014-18 total, compared to America’s 36 per cent.

Several major arms importers, including India, Australia, South Korea and Vietnam, refuse to buy arms from China for political reasons.

Beijing’s decision to join the ATT is in keeping with the image it has sought to present of China as a defender of multilateralism. The stance is also in sharp contrast to the US’ position under Trump, who has repeatedly scrapped multilateral trade agreements in favour of bilateral deals.

Since taking office in 2016, he has withdrawn the US from the Paris climate accord, the Iran nuclear deal and the Trans-Pacific Partnership.

Military observers said Beijing might seek to pressure on Washington to stay in the deal to try to maintain the strategic and military balance in the region.

Song Zhongping, a Hong Kong-based military affairs commentator, said Beijing might be trying to avoid misuse of conventional weapons.

“Beijing may want to press big exporters, such as the US and Russia, to join the deal because without proper regulations, the risk of illegal trade and misuse of conventional weapons could be running high,” he said.

“This could also threaten regional stability or even trigger unnecessary arms races.”

Adam Ni, a China specialist at Sydney’s Macquarie University, said the treaty would put some limits on the arms trade “but it would not mean that China would not be able to do deals. It will still be able to do [most deals]”.

Retired PLA colonel Yue Gang said the strategy could also improve China’s international reputation.

Source: SCMP

01/09/2019

Did China’s growing presence in Arctic prompt Donald Trump’s offer to buy Greenland?

  • US president likely had Beijing ‘on his mind’ when he made his audacious offer, diplomat says
  • Proposal ‘could be interpreted as a very clear signal’ to China and Denmark that the US sees Greenland as part of an exclusive strategic zone, academic says
China has been building closer ties with Greenland in recent years. Photo: Reuters
China has been building closer ties with Greenland in recent years. Photo: Reuters

US President Donald Trump’s eyebrow-raising idea to buy Greenland from Denmark last month epitomised what analysts say is Washington’s fear of the growing interplay of Chinese money, Russian aggression and Arctic political division.

Of all the countries involved in the region, Denmark is feeling the most heat, and not just because Trump recently cancelled a trip and called its Prime Minister Mette Frederikse “nasty” for describing his plan to buy the world’s largest island “absurd”.

Over the past few years, both of Denmark’s self-ruled governments – Greenland and the Faroe Islands – have increasingly turned to China for commercial deals, adding weight to Beijing’s growing strategic influence in the vast area that forms the common backyard of Europe, North America and Russia.

Russia seeks Chinese support in developing Arctic shipping routes

Greenland is of particular concern to the White House and the Pentagon as it is home to the US Thule Air Force Base, located far above the polar circle and which served as the first line of defence during the cold war.
Nowadays, the island is also strategically important for the US ballistic missile early warning system, as the shortest route from Europe to North America goes via the ice-cloaked, resource-rich territory.

“Though it’s difficult to tell the motivations of President Trump, he likely had China on his mind with his Greenland offer,” said a Beijing-based diplomat, who asked not to be named.

The US was likely to step up its presence in Greenland in the future, the person said.

In May, US Secretary of State Mike Pompeo accused China and Russia of introducing a strategic power struggle into the Arctic region and described Beijing’s behaviour there as aggressive.

When Greenland signalled an interest in engaging a Chinese state-owned company to build two airports in 2017 – the island’s prime minister flew to Beijing to appeal for financial backing – Copenhagen stepped in amid US pressure, reluctantly agreeing to finance the projects from the public coffers.

Denmark’s reluctance stems from a long-standing mistrust between Copenhagen and Greenland, as the island’s quest for economic development is viewed by the Danes as an attempt to shore up capital to push for a future independence movement.

“There is no doubt that the US foreign and security policy community is becoming far more interested in Greenland as a strategic asset,” said Andreas Bøje Forsby, a researcher at the University of Copenhagen’s Nordic Institute of Asian Studies.

“Proposing to buy Greenland could be interpreted as a very clear signal to both China and Denmark that Greenland is part of an exclusive American strategic zone,” he said.

Danish Prime Minister Mette Frederikse described Donald Trump’s plan to buy Greenland as “absurd”. Photo: Reuters
Danish Prime Minister Mette Frederikse described Donald Trump’s plan to buy Greenland as “absurd”. Photo: Reuters

The government of the Faroe Islands – an archipelago located between Scotland, Norway and Iceland – has a similar readiness to engage with China but for a different purpose.

Unlike Greenland, there are no immediate political movements calling for independence from Denmark, making its overall relationship with Copenhagen more amiable.

This month, the Faroese government will open a liaison office in Beijing, located within the Danish embassy.

“Our top priority is to have a free-trade agreement with China,” Sigmundur Isfeld, the first head of the Faroe Islands’ representation to Beijing, said.

US defence report flags China’s expanding military reach in the Arctic

With Norway – a key competitor of the Faroes in the fishing and export industries – eyeing a similar arrangement with China, the time was ripe to clinch a deal, he said.

“It is a challenge for us … we need to get in the game.”

Although part of Denmark, the Faroe Islands are not part of the European Union and therefore have to form separate trade agreements with other countries.

“For example, there is an EU-Japan economic partnership agreement. It covers all EU nations, but it does not cover the Faroe Islands,” Isfeld said.

Trade between Greenland and China totalled US$126 million in 2108. Photo: AFP
Trade between Greenland and China totalled US$126 million in 2108. Photo: AFP

China, for its part, has sought to exert its economic and cultural influence on the Faroes, which has a population of about 52,000 people.

Huawei

, the embattled Chinese telecoms giant, has been working with the islands’ main telecoms provider for four years and is said to be finalising a plan for 5G upgrades across the archipelago.

Beijing also helped fund a project for a Chinese-Faroese dictionary.
With a population of about 56,000 people, Greenland is one of China’s smallest trading partners. In the first seven months of 2019, trade between the two was US$126 million, with Chinese imports of fish accounting for the bulk of the total.
The Greenland government’s annual political and economic report for 2019 said that strong demand for metals from China had contributed to mineral and mining projects in the country, though China’s transition to a less mineral-intensive economy could spell trouble for the future of the sector.
The island’s gross domestic product is expected to grow by 3 per cent this year, according to the report, with seafood – principally cod, halibut and prawns – set to continue to be its chief export.
The end of the Arctic as we know it
China’s attempts in recent years to expand its involvement in Greenland have run into roadblocks.
In 2016, a Chinese mining company expressed interest in taking over an abandoned marine station in Grønnedal, an offer that the Danish government turned down the following year. A Chinese state-owned construction company had also offered to build airports in Greenland, but withdrew its offer this year.
Also this year, China expanded its involvement in exporting from Kvanefjeld, one of the world’s largest deposits of rare earths and uranium, by creating a joint venture to process and export the resources.
Beijing has made clear its strategic ambitions in the region. Early last year, it unveiled its Polar Silk Road strategy, plotting the course for its future development goals in the region – including scientific, commercial, environmental preservation and resource extraction efforts.
It also aligned its Arctic interests with its Belt and Road Initiative. Chinese companies are encouraged to invest in building infrastructure along the routes and conduct commercial trial voyages to gauge feasibility.
Putin boasts of nuclear icebreaker fleet as he outlines Arctic expansion plans

Anders Rasmussen, a former Danish prime minister and erstwhile Nato secretary general, said in an article published in Atlantic magazine last month that with melting ice caps opening the Arctic Sea to shipping, Arctic sea lanes “will likely become another flashpoint of renewed competition among the great powers as climate change alters our world”.

It was a situation he said he found “regrettable, but inevitable”.

“Both China and Russia are interested in getting a foothold in Greenland, to expand their influence in the Arctic region,” Rasmussen said. “Instead of being a source of contention,

Greenland should serve to highlight how many interests the United States and Denmark have in common.”

Source: SCMP

19/08/2019

Beijing warns US of ‘consequences’ after Donald Trump approves US$8 billion sale of fighter jets to Taiwan

  • President says sale of Lockheed Martin F-16Vs will go ahead if ratified by Senate
  • Military experts have said the jets would bolster Taiwan’s ability to counter the threat of air strikes from mainland China
A Taiwan Air Force F-16V takes off during a drill in May. Photo: EPA-EFE
A Taiwan Air Force F-16V takes off during a drill in May. Photo: EPA-EFE
Beijing warned it would take countermeasures against Washington for selling 66 fighter jets to Taiwan after US President Donald Trump said he had approved the US$8 billion deal.
Chinese foreign ministry spokesman Geng Shuang on Monday said the sale of Lockheed Martin F-16V jets was a serious violation of the one-China principle.
“China has made numerous solemn representations to the US on the sale of F-16V jets to Taiwan,” Geng said in a press conference, adding that the United States should halt the sale.
“The US has to bear all the consequences triggered by the sale,” Geng said. “China will take necessary measures to defend its self-interest based on the development of the situation.”

Geng gave no details of the action China would take. In July, Beijing said it would impose sanctions on US firms involved in a deal to sell US$2.2 billion worth of tanks, missiles and related equipment to Taiwan, describing it as harmful to China’s sovereignty and national security.

Liang Yunxiang, an international relations expert from Peking University, said one countermeasure Beijing might use was to suspend military-to-military exchanges with the United States.

“And Beijing might also try to increase pressure on the island, including by conducting more military drills near or in the Taiwan Strait,” Liang saiOn Sunday, Trump said he had approved the proposed deal for the jets – a move set to significantly boost the self-ruled island’s defences against mainland China.

‘Fighter jets trump battle tanks’ in Taiwan’s US arms priorities

Speaking to reporters in New Jersey on Sunday, Trump said that the sale would need to be ratified by the US Senate but that he had approved it.

“It’s US$8 billion. It’s a lot of money. That’s a lot of jobs. And we know they’re going to use these F-16s responsibly,” he said.

If the deal is approved by Congress, it will be the first time since 1992 that the United States has sold F-16s to Taiwan. Previous requests were rejected by the Barack Obama administration, which instead offered to upgrade Taiwan’s existing fleet of about 140 F-16A/B Block 20 aircraft.

During months of slow progress since  the sale  was outlined earlier this year, some lawmakers and defence experts had suggested that Trump was using the proposed deal as leverage to secure a better agreement for the US in talks to resolve its year-long

trade war with China.
Taiwan’s presidential office and foreign ministry lauded Trump’s announcement, calling it a strong sign of the US’ commitment to its security and saying the deal would help to maintain regional stability.
“The new warplanes will greatly strengthen our anti-air defence capability and we will continue to be devoted to safeguarding peace and stability across the Taiwan Strait and in the region, thereby maintaining freedom and democracy in Taiwan,” presidential office spokesman Alex Huang said.
‘Fighter jets trump battle tanks’ in Taiwan’s US arms priorities
In a statement, Taiwan’s foreign ministry said persistent war games by the mainland around the island and in the East and South China Sea had not only sabotaged peace and stability in the region but also triggered grave concern from China’s neighbours.
It described Trump’s approval of the deal as a “strong indicator of the close and growing security partnership between the US and Taiwan”.
Opinion: Care needed over Taiwan arms deal
Military experts have said the new variant of the F-16, the Viper – which can carry a wide range of short and medium-range air-to-air missiles – is more able to counter the threat of an air strike from mainland China’s fourth-generation aircraft, such as the Su-35 and J-10.
Last week, Republican Senator Marco Rubio said the US administration had  made progress in advancing the deal, which he called “an important step in support of Taiwan’s self-defence efforts”.
In July, the US  also approved arms sales to Taiwan worth US$2.2 billion, including 108 M1A2T Abrams tanks and 250 Stinger portable surface-to-air missiles.
Beijing strongly opposes arms deals with Taiwan, which it considers a renegade province, but the US is obliged to help defend the self-governing island under the terms of its Taiwan Relations Act, effective since 1979.
Source: SCMP
31/07/2019

China and US court Asean members to strengthen Indo-Pacific ties as trade war enters second year

  • China’s Wang Yi and US’ Mike Pompeo at summit in Thailand to sell their visions of future for Southeast Asia
  • Analysts expect pragmatism from Asean as world’s two biggest economic powers play diplomatic game
Chinese Foreign Minister Wang Yi (right) greets his Philippine counterpart Teodoro Locsin at the Asean meeting in Bangkok, Thailand. Photo: Xinhua
Chinese Foreign Minister Wang Yi (right) greets his Philippine counterpart Teodoro Locsin at the Asean meeting in Bangkok, Thailand. Photo: Xinhua
China and the United States are on a mission to strengthen ties with allies and expand their influence in Southeast Asia this week as their trade war enters a second year.
US Secretary of State Mike Pompeo arrived for a meeting of the Association of Southeast Asian Nations (Asean) in Bangkok on Wednesday to promote the US-led Indo-Pacific strategy, while Chinese Foreign Minister Wang Yi touched down a day earlier to advance Beijing’s Belt and Road Initiative.
The US Department of State said Pompeo’s trip was aimed at deepening Washington’s “long-standing alliances and vibrant bilateral relations with these countries, and [to] reaffirm our commitment to Asean, which is central to our vision for the Indo-Pacific region”.
In Beijing on Wednesday, Chinese foreign ministry spokeswoman Hua Chunying said that while their meeting was yet to be set, Wang and Pompeo were expected to meet and talk “frankly” about bilateral relations.
“I think that it is indeed necessary for China and the United States to maintain communication, as the two countries face many situations,” Hua said. “The issues would be communicated frankly”.

The Indo-Pacific strategy is a military and economic framework to contain China’s expansion into the Pacific and Indian oceans, and give an alternative to Beijing’s flagship belt and road development programme.

En route to Thailand, Pompeo said that after a stalled start to US Indo-Pacific policy during the Barack Obama administration, Washington’s strategy was well on its way to bearing fruit for the US and its allies.

South China Sea tensions, US-China trade war loom over Asean summit

“We have watched these coalitions build out,” he said.

Pompeo dismissed claims that China’s sphere of influence among Asean members was growing, saying such speculation was “not factually accurate”.

“[Asean countries] are looking for partners that are going to help them build out their economies and to take good care of their people,” he said, pledging greater engagement from President Donald Trump’s administration.

Pompeo was expected to sit down on Friday with his South Korean and Japanese counterparts to consolidate their trilateral alliance in the region.

He was also expected to hold talks with Thai Foreign Minister Don Pramudwinai that day.

US Secretary of State Mike Pompeo is expected to meet Chinese Foreign Minister Wang Yi at Asean in Thailand. Photo: EPA-EFE
US Secretary of State Mike Pompeo is expected to meet Chinese Foreign Minister Wang Yi at Asean in Thailand. Photo: EPA-EFE

Meanwhile, Wang launched his belt and road pitch to his Cambodian, Philippine and Indonesian counterparts after he arrived in Thailand for the gathering, which ends on Saturday.

The belt and road projects are largely commercial and aimed at strengthening land and sea infrastructure linking Asia, Europe and Africa. But they raised suspicion in the West that they are aimed at eroding the US-led world order.

During his meeting with Philippine Foreign Affairs Secretary Teodoro Locsin, Wang said: “China is willing to have high-level exchanges with the Philippines, to deepen the mutual trust, and promote the Belt and Road Initiative [in the Philippines] … to accelerate the development of regional infrastructure.”

Can China’s trade boost with Asean help get the Regional Comprehensive Economic Partnership over the line?

This year’s Asean forum was taking place as countries were more receptive to Chinese initiatives, in part due to the unpredictability of the US administration, according to Rajeev Ranjan Charturvedy, a visiting fellow at the S. Rajaratnam School of International Studies at Nanyang Technological University in Singapore.

“Policy uncertainties under the Trump administration have already pushed some Asean countries towards China in ways that would have seemed unlikely a few years ago,” Charturvedy said.

Analysts said Trump’s “America first” approach shaped his Asean policy. The president had vowed to apply “punishments” to countries – including Asean member states – for contributing to the US trade deficit.

Chinese Foreign Minister Wang Yi is talking to Asean counterparts at a time when they are receptive to China’s proposals, an analyst says. Photo: AFP
Chinese Foreign Minister Wang Yi is talking to Asean counterparts at a time when they are receptive to China’s proposals, an analyst says. Photo: AFP

Trump was absent at the Asean summit in Singapore last year, leading to concerns that Washington’s commitment to Asia was declining.

Charturvedy said the Asean forum’s focus was about building constructive regionalism, but China’s attitudes to security could pose a challenge.

“[However] Asean countries clearly hope not to be forced to choose between the US and Chinese offers. Rather, they would like more freedom of choice while accommodating for a larger role for China in the region,” he said.

Clarita Carlos, a professor of political science at the University of the Philippines, suggested that Asean members would be pragmatic during the forum.

Robert Lighthizer warns Vietnam over trade deficit with US

They would try to find their own balance between the two major powers – as countries rather than a bloc – to try to maximise each state’s interests and advantages, Carlos said.

“Vietnam has a love-hate relationship with China, especially as a winner in the ongoing US-China trade war,” she said. “Singapore has close relations with China. There are also ups and downs in the relationship with China for Brunei, Malaysia and Indonesia.”

Source: SCMP

09/07/2019

Xi Jinping says China, Russia and India should take ‘global responsibility’ to protect interests

  • Chinese president also called for the three nations to uphold multilateralism in talks with Vladimir Putin and Narendra Modi in Osaka
  • In a separate meeting with other BRICS leaders, he said Beijing opposed ‘illegal and unilateral sanctions’ and ‘long-arm jurisdiction’
(From left) Russian President Vladimir Putin, Indian Prime Minister Narendra Modi and Chinese leader Xi Jinping meet on the sidelines of the G20 summit in Osaka, Japan, on Friday. Photo: EPA-EFE
(From left) Russian President Vladimir Putin, Indian Prime Minister Narendra Modi and Chinese leader Xi Jinping meet on the sidelines of the G20 summit in Osaka, Japan, on Friday. Photo: EPA-EFE
Chinese President Xi Jinping on Friday called on the leaders of Russia and India to take “global responsibility” to safeguard the three countries’ interests and uphold multilateralism, as Beijing seeks to rally support amid its protracted trade war with Washington.
Xi made the remarks during a trilateral meeting with Vladimir Putin and Narendra Modi on the sidelines of the annual 
Group of 20

summit of world leaders in Osaka, Japan.

The trilateral meeting was part of the Chinese leader’s efforts to marshal international support ahead of his 
high-stakes meeting

with US President Donald Trump, seeking to reach a truce on the year-long trade conflict between the world’s two biggest economies.

“The rise of protectionism and unilateralism has severely affected global stability and economic growth, as well as the existing international order which emerging economies and developing countries have relied on,” Xi was quoted as saying by state broadcaster CCTV.

“China, Russia and India should take on global responsibility to safeguard the fundamental and long-term interests of these three countries and the world,” he said.

Xi also called for the nations to promote “a more multipolar world and the democratisation of international relations” – meaning with less reliance on a US-led world order.

During a meeting with leaders of the other BRICS countries – major emerging economies Brazil, Russia, India, China and South Africa – Xi also said Beijing opposed what it saw as “illegal and unilateral sanctions” and “long-arm jurisdiction”.

The efforts to forge closer ties among China, Russia and India come as all three nations are locked in disputes with the United States.

New Delhi, a key strategic ally in Washington’s Indo-Pacific policy to contain China’s rise, has been upset over tariffs imposed on Indian goods by the Trump administration. Meanwhile, geopolitical rivalry and the Kremlin’s alleged meddling in US elections has strained relations between Moscow and Washington.

Beneath the smiles and handshakes, tensions simmer as world leaders meet for G20

Wu Jianghao, director general of the Chinese foreign ministry’s Asian affairs department, said the trilateral meeting laid out a framework for future cooperation.

“The three countries have spoken with one voice on some major global issues, helping stability and injecting positive energy to the current international situation – which is filled with instability and uncertainties,” Wu said at a briefing on Friday.

Wu said that the leaders did not talk about Huawei Technologies or 5G networks, but that the three countries had maintained good communication on telecoms issues and would continue to cooperate.

Washington has banned US companies from selling American technology to Huawei and put pressure on its allies to block the Chinese tech firm over security concerns.

(From left) US President Donald Trump, Japanese Prime Minister Shinzo Abe and Indian Prime Minister Narendra Modi pose for a photo before their meeting. Photo: AP
(From left) US President Donald Trump, Japanese Prime Minister Shinzo Abe and Indian Prime Minister Narendra Modi pose for a photo before their meeting. Photo: AP

Meanwhile, the United States is also seeking to build ties with India, with Trump holding trilateral talks with Modi and Japanese Prime Minister Shinzo Abe on Friday.

Indian Foreign Secretary Vijay Gokhale described that trilateral meeting as “very good”, saying it was “short but very productive”.

“The main topic of discussion was the Indo-Pacific, about how the three countries could work together in terms of connectivity, infrastructure and ensuring that peace and stability is maintained, and working together to build upon this new concept so that it would benefit the region as a whole and the three countries,” Gokhale said.

On the Modi-Trump bilateral meeting, he said the two leaders had “a very warm discussion”. They also briefly discussed 5G, with the focus on business cooperation between the two countries to leverage their technology and the potential of the Indian market, according to Gokhale.

He said the discussion of how to develop 5G networks was “in terms of business, not in terms of governments”. “It’s an exciting new area that India and the US can work together [on],” he said.

Source: SCMP

29/06/2019

‘Back on track’: China and U.S. agree to restart trade talks

OSAKA (Reuters) – The United States and China agreed on Saturday to restart trade talks with Washington holding off new tariffs on Chinese exports, signalling a pause in the trade hostilities between the world’s two largest economies.

Commenting on a long-running dispute over China’s Huawei, President Donald Trump said U.S. firms would be able to sell components to the world’s biggest telecoms network gear maker where there was no national security problem.
The truce offered relief from a nearly year-long trade standoff in which the countries have slapped tariffs on billions of dollars of each other’s imports, disrupting global supply lines, roiling markets and dragging on global economic growth.
“We’re right back on track and we’ll see what happens,” Trump told reporters after an 80-minute meeting with Chinese President Xi Jinping on the sidelines of a summit of leaders of the Group of 20 (G20) major economies in Osaka, western Japan.
Trump said while he would not lift existing import tariffs, he would refrain from slapping new levies on an additional $300 billion worth of Chinese goods – which would have effectively extended tariffs to everything China exports to the America.
“We’re holding back on tariffs and they’re going to buy farm products,” he said at a news conference, without giving any details of China’s future agricultural product purchases.

“If we make a deal, it will be a very historic event.”

He gave no timeline for what he called a complex deal but said he was not in a rush. “I want to get it right.”

HUAWEI HOPES

On Huawei, Trump said the U.S. commerce department would meet in the next few days on whether to take it off a list of firms banned from buying components and technology from U.S. companies without government approval.

China welcomed the step.

“If the U.S. does what it says, then of course, we welcome it,” said Wang Xiaolong, the Chinese foreign ministry’s envoy for G20 affairs.

U.S. microchip makers also applauded the move.

“We are encouraged the talks are restarting and additional tariffs are on hold and we look forward to getting more detail on the president’s remarks on Huawei,” John Neuffer, president of the U.S. Semiconductor Association, said in a statement.

Huawei has come under mounting scrutiny for over a year, led by U.S. allegations that “back doors” in its routers, switches and other gear could allow China to spy on U.S. communications.

While the company has denied its products pose a security threat, the United States has pressed its allies to shun Huawei in their fifth generation, or 5G, networks and has also suggested it could be a factor in a trade deal.

RELIEF AND SCEPTICISM

In a lengthy statement on the two-way talks, China’s foreign ministry quoted Xi as telling Trump he hoped the United States could treat Chinese companies fairly.

On the issues of sovereignty and respect, China must safeguard its core interests, Xi was cited as saying.

“China is sincere about continuing negotiations with the United States … but negotiations should be equal and show mutual respect,” the foreign ministry quoted Xi as saying.

Trump had threatened to extend existing tariffs to almost all Chinese imports into the United States if the meeting brought no progress on wide-ranging U.S. demands for reforms.

Source: Reuters

Slideshow (4 Images)

Financial markets are likely to breathe a sigh of relief on news of the resumption in U.S.-China trade talks.

“Returning to negotiations is good news for the business community and breathes some much needed certainty into a slowly deteriorating relationship,” said Jacob Parker, a vice-president of China operations at the U.S.-China Business Council.

“Now comes the hard work of finding consensus on the most difficult issues in the relationship, but with a commitment from the top we’re hopeful this will put the two sides on a sustained path to resolution,” he said.

Some, however, warned the pause might not last.

“Even if a truce happens this weekend, a subsequent breakdown of talks followed by further escalation still seems likely,” Capital Economics said in a commentary on Friday.

The United States says China has been stealing American intellectual property for years, forces U.S. firms to share trade secrets as a condition for doing business in China, and subsidizes state-owned firms to dominate industries.

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China has said the United States is making unreasonable demands and must also make concessions.

Talks collapsed in May after Washington accused Beijing of reneging on reform pledges. Trump raised tariffs to 25% from 10% on $200 billion of Chinese goods, and China retaliated with levies on U.S. imports.

The U.S.-China feud had cast a pall over the two-day G20 gathering, with leaders pointing to the threat to global growth.

In their communique, the leaders warned of growing risks to the world economy but stopped short of denouncing protectionism, calling instead for a free, fair trade environment after talks some members described as difficult.

28/06/2019

Commentary: Xi-Trump meeting an opportunity to bring talks back on track

BEIJING, June 28 (Xinhua) — Chinese President Xi Jinping is set to sit down with his U.S. counterpart, Donald Trump, on the sidelines of the Group of 20 (G20) summit in the Japanese city of Osaka, igniting a flicker of hope to bring the China-U.S. trade talks back on track.

The meeting arrives at a time when Washington’s trade offensive against China is not only poisoning one of the world’s most important bilateral relationships, but also risking throttling the already frail global economic recovery. Its significance is thus too great to miss.

When the two presidents met each other at last year’s G20 summit in Argentina’s capital city of Buenos Aires, they reached an important consensus to pause the trade confrontation and resume talks. Since then, negotiating teams on both sides have held seven rounds of consultations in search for an early settlement.

However, China’s utmost sincerity demonstrated over the months seems to have only prompted some trade hawks in Washington to press for their luck.

Following its failure to coerce Beijing into swallowing a deal with unequal terms, a disappointed and enraged Washington returned to its tactic of tariffs by raising additional levies on 200 billion U.S. dollars’ worth of Chinese goods from 10 percent to 25 percent, and threatening a new round of tariff hikes on another 300 billion dollars’ worth of goods.

Some ultra-conservative U.S. decision-makers, who have for many years seen in China a “threat” to Washington’s sole superpower status, have tried to extend the trade campaign into a broader operation to shut China out and contain its rise.

As a result, Washington is cracking down on Chinese high-tech companies including telecom equipment provider Huawei, while many Chinese students seeking to study in the United States are facing more restrictions like months-long visa delay.

Thanks to Washington’s relentless efforts, the two countries, which should have celebrated the 40th anniversary of their diplomatic ties this year, are seeing their relations slipping down the path to a possible all-out confrontation.

Despite Washington’s “in-your-face” style of maximum pressure strategy, China has been steadfastly consistent in its position. It has always been committed to settling trade frictions via dialogue and consultation and safeguarding its legitimate and sovereign rights at the same time.

Beijing, as it has on various occasions reaffirmed, does not want a trade war, but is not afraid of one, and will fight to the end if necessary.

Last week, Xi had a telephone conversation with Trump at the request of the U.S. leader, saying that he stands ready to meet Trump in Osaka to exchange views on fundamental issues concerning the development of China-U.S. relations.

Xi’s words reflect an alarming fact that the two countries are facing a challenge to the fundamentals of their relationship. The upcoming Xi-Trump meeting provides a unique opportunity for the two sides to find new common ground in easing trade tensions and bring the troubled ties back onto the right track.

If the two sides can reach an agreement to pick up the talks, the United States needs to place itself on an equal footing with China, and accommodate China’s legitimate concerns on the basis of mutual respect, equality and mutual benefit in order to seek win-win results in the future negotiations.

Just one day ahead of the Osaka G20 summit, some U.S. politician again threatened to slap punitive levies on imported Chinese goods. Such cheap tactics to bring China down to its knees with pressure will get nowhere.

For more than a year, Washington’s spoils in its tariff campaign have so far only seen rising daily costs for ordinary American consumers, growing rejections from U.S. farmers, industry workers and business leaders, roller-coaster rides in U.S. stock markets, as well as China’s increasingly stronger determination to defend its rights.

The trade fight between the world’s two largest economies has already hit hard the global market and dented investors’ confidence worldwide. The latest World Trade Outlook Indicator reading of 96.3 remains at the weakest level since 2010, signaling continued falling trade growth in the first half of 2019, according to the World Trade Organization.

Trade wars produce no winner. In his latest telephone talk with Xi, Trump said he believes the entire world hopes to see the United States and China reach an agreement. To get an agreement, Washington’s hardliners need to know that Beijing will neither surrender to their pressure, nor permit Washington to deprive Chinese people of their rights to pursue a better life.

And for the agreement to be sustainable, Washington’s China policy should be rational. A rising China is not seeking to grab global hegemony. It will continue to work with nations around the world, including the United States, to boost common development and build a community with a shared future for mankind.

The past 40 years of China-U.S. relationship have proved that when the two countries work together, they both win and the world gains as well. But when they fight each other, all are poised to lose.

China and the United States, as two major economies in the international community, bear special responsibility for the wider world.

Therefore, the two sides, just as what Xi said during his meeting with The Elders delegation this April in Beijing, need to manage their differences, expand cooperation and jointly promote bilateral relations based on coordination, cooperation and stability so as to provide more stable and expectable factors to the world.

Source: Xinhua

23/06/2019

Xi Jinping’s state visit to North Korea aims for ‘new impetus’ in ties

  • Stalled denuclearisation talks also expected to be on the agenda when Chinese president meets Kim Jong-un this week
  • Analysts say Korean peninsula has become intense diplomatic battleground between Beijing and Washington
North Korean leader Kim Jong-un (right) attends a welcome ceremony in Beijing with Chinese President Xi Jinping in January. Xi will begin a visit to Pyongyang on Thursday. Photo: AP
North Korean leader Kim Jong-un (right) attends a welcome ceremony in Beijing with Chinese President Xi Jinping in January. Xi will begin a visit to Pyongyang on Thursday. Photo: AP
Xi Jinping’s upcoming trip to 
North Korea

will be a state visit – a higher status than the last trip to the hermit kingdom by a Chinese president, highlighting the close bilateral ties between Beijing and Pyongyang.

Xi’s two-day trip, which 
begins on Thursday

, is the first by a Chinese president to North Korea in 14 years and comes just a week before he is due to meet US President Donald Trump for talks on the sidelines of the Group of 20 summit in Japan.

“Leaders of the two countries will review the development of the bilateral relationship and carry out an in-depth exchange of opinions on the development of Sino-North Korean relations in the new era, and chart the future course of development,” state news agency Xinhua reported on Tuesday.
Xi’s predecessor, Hu Jintao, went to North Korea in October 2005 on a three-day trip described as an “official goodwill” visit.
Speaking at a regular press briefing in Beijing on Tuesday, foreign ministry spokesman Lu Kang said Xi’s visit aimed to “inject new impetus” into relations in the year the two countries marked the 70th anniversary of establishing diplomatic ties, and to give stalled denuclearisation talks a much needed push.
“Regarding the progress on denuclearisation, as I said, the result of the Hanoi leaders’ meeting in February was indeed a little unexpected. But after that, everyone actually looks forward to the resumption of dialogue in a good direction,” Lu said, referring to the failed talks between Trump and North Korean leader Kim Jong-un in the Vietnamese capital four months ago.

Trump hinted at the possibility of another meeting with Kim after receiving what he called “a beautiful letter” from the North Korean leader last week. On Tuesday, South Korea’s chief nuclear negotiator, Lee Do-hoon, said the US had been in contact with the North.

Life in North Korea the ‘admiration and envy’ of others, state media says

Washington will also send US Special Representative for North Korea Stephen Biegun to South Korea next week, days after Xi’s visit to Pyongyang, to fully align its position on North Korea with its ally.

Meanwhile, Trump confirmed he would meet Xi for talks in Osaka next week, saying in a tweet on Tuesday they had “a very good telephone conversation” and would hold “an extended meeting” at the G20 summit, where they are

expected to try to cool tensions

over an almost year-long trade war.

Donald J. Trump

@realDonaldTrump

Had a very good telephone conversation with President Xi of China. We will be having an extended meeting next week at the G-20 in Japan. Our respective teams will begin talks prior to our meeting.

Analysts said the Korean peninsula had become an intense diplomatic battleground between Beijing and Washington.
Cha Du-hyeogn, a visiting research fellow at the Asan Institute for Policy Studies in Seoul, said China and the US were competing for influence over the peninsula.
“The US and China are seeking a greater sphere of influence in the region. After the Singapore summit between Trump and Kim last year, the US and North Korea are the only key players on peninsula matters. China may want to restore its influence and become a major player,” Cha said.
“But China is less likely to have a so-called strategic competition with the US – that is to say, it won’t challenge the US-led sanctions regime and its goal in achieving North Korea’s denuclearisation. In fact, it is likely to persuade Kim to come to the negotiating table for complete denuclearisation.”
Chinese tourists flood North Korea as Beijing remains Pyongyang’s key ally

Pyongyang has demanded the lifting of sanctions imposed on the regime following its nuclear and missile tests, while Beijing has said the livelihoods of North Koreans should not be affected. But Washington insists full sanctions should remain in place.

The US has also voiced scepticism about Chinese compliance with the sanctions. At a security summit in Singapore earlier this month, US acting Pentagon chief Patrick Shanahan – who on Wednesday stepped down from his role 

amid domestic abuse claims

– presented his Chinese counterpart Wei Fenghe with photographs and satellite images of North Korean ships transferring oil near China’s coast.

Analysts said Xi would seek to use the visit to boost China’s diplomatic leverage on the North Korean nuclear front, strengthening its hand in dealing with the US.
Exports from North Korea to China, which account for the bulk of its trade, plunged 87 per cent last year from 2017, and the country has faced other economic problems at a time when Kim has vowed to deliver on the economy.
A diplomatic source said China was expected to offer a large amount of humanitarian assistance, such as food and fertiliser, to North Korea, which could weaken the impact of sanctions.

China’s goal of denuclearisation on the Korean peninsula is unwavering and will not changeLu Chao, North Korean affairs expert at Liaoning Academy of Social Sciences

Communist Party mouthpiece People’s Daily on Tuesday said via its social media account that Xi would discuss economic and trade cooperation with Kim during the visit.

Quoting Zheng Jiyong, director of the Centre for Korean Studies at Fudan University in Shanghai, the newspaper said Pyongyang had taken steps to reform its economy and introduced China’s industrial manufacturing blueprint.

In September, Beijing proposed building a rail link from the city of Dandong, in China’s northeastern Liaoning province, to Pyongyang and then on to Seoul and Busan in the South, as well as a new road between Dandong and Pyongyang through Sinuiju.

Lu Chao, a North Korean affairs expert at the Liaoning Academy of Social Sciences, said large-scale economic cooperation between China and North Korea was unlikely because of the sanctions, but smaller moves were possible.

Chinese tourists flood North Korea as Beijing remains Pyongyang’s key ally

“For example, China may export daily necessities to North Korea. And if it’s needed, China is very likely to provide [food] assistance to North Korea,” Lu said. “I believe the UN sanctions on North Korea should change, because it has shown a more substantive approach to [achieving] denuclearisation.”

But analysts said Beijing remained firm on the need for Pyongyang to honour its pledges so that denuclearisation could be achieved.

“China’s goal of denuclearisation on the Korean peninsula is unwavering and will not change … China supports [North Korea] and the US continuing to hold talks,” Lu said.

Beijing also had an important part to play in the peace process, according to Boo Seung-chan, an adjunct professor at the Yonsei Institute for North Korean Studies in Seoul.

“China can have a positive role as a mediator to facilitate the peace process on the Korean peninsula,” Boo said.

Source: SCMP

23/06/2019

China confirms President Xi Jinping’s three-day trip to Japan this week

  • Leader will arrive on Thursday, ahead of G20 summit in Osaka, foreign ministry says
  • He is expected to hold talks with Donald Trump on sidelines of meeting
China has confirmed that President Xi Jinping will travel to japan this week. Photo: AFP
China has confirmed that President Xi Jinping will travel to japan this week. Photo: AFP

China on Sunday confirmed that President Xi Jinping will attend the G20 summit in Osaka this week.

Xi will spend three days in Japan – his first visit to the country since coming to power in 2013 – the foreign ministry said.

He will travel to Japan on Thursday and is expected to meet his US counterpart Donald Trump on the sidelines of the meeting of leading and emerging economies, which runs from Friday to Saturday, it said.

It is possible the pair will hold formal negotiations over dinner, as they did in Argentina in December at the last G20 summit.
Presidents Xi and Trump are expected to hold talks over dinner, as they did in Argentina in December. Photo: Kyodo
Presidents Xi and Trump are expected to hold talks over dinner, as they did in Argentina in December. Photo: Kyodo

On Saturday, People’s Daily, the mouthpiece of China’s Communist Party said in a commentary that the trade war between China and the US could be resolved only through “equal conversation”.

“For the talks to resume … the key is to address the primary concern of the other side. The tariffs already in place must be revoked,” it said.

Trade deal ‘within reach if Xi and Trump show courage’

Meanwhile, state broadcaster CCTV on Friday criticised Washington’s decision to add five Chinese companies to its list of entities considered a threat to national security.

“The US made this move to put more pressure China ahead of the trade talks,” it said, adding that it might produce a result opposite to the one desired by Washington.

The report came after the US commerce department said it had added five Chinese firms that manufacture supercomputers and their components to the entity list, restricting their ability to do business with the US.

The blacklist effectively bars American firms from selling technology to the Chinese organisations without government approval. Last month, the commerce ministry added telecoms giant 

Huawei

to the list, heightening tensions with Beijing.

Xi told Trump on Tuesday he was willing to meet in Japan. Photo: AP
Xi told Trump on Tuesday he was willing to meet in Japan. Photo: AP

In a telephone conversation on Tuesday, Xi told Trump he was willing to meet in Japan and said he “agreed that the two countries’ trade delegations should keep communications going to solve their differences”, CCTV reported.

Kong Xuanyou, China’s new envoy to Japan, said on Friday that he hoped Xi would make an official visit to the country soon, ideally during the cherry blossom season next spring. The foreign ministry statement made no mention of such a visit.

Source: SCMP

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