Two major economies around the world resume economic and trade dialogue, US Treasury Secretary visits China | Yellen | Global

On the afternoon of the 6th Beijing time, US Treasury Secretary Yellen arrived in Beijing by plane. Some analysts believe that Yellen's visit this time is based on the overall hard policy of the Biden administration towards China, seeking contact and communication.

Following US Secretary of State Antony Blinken, US Treasury Secretary Yellen visited China from the 6th. The US Treasury Department announced on the 2nd that Yellen will discuss with Chinese officials the management of China US relations, engage in direct communication in areas of concern, and explore joint responses to global challenges.

Host of CBS

US Treasury Secretary Yellen is visiting China in an attempt to ease tensions between the two countries over a range of economic and security issues. The sanctions imposed on Chinese imports during the Trump era remain effective. At the same time, the United States is currently working to limit China's access to semiconductors required for artificial intelligence technology.

Yellen: China and the United States have a responsibility to maintain cooperation in international affairs

Analysis has pointed out that the recent interaction mode between China and the United States has brought a cool breeze to the anxious atmosphere of Sino US relations, enhancing the positive expectations of the international community for the improvement of future Sino US relations. Yellen's visit this time is based on the overall hard policy of the Biden administration towards China, seeking so-called contact and communication. Previously, Yellen stated in a hearing before the Financial Services Committee of the United States House of Representatives that open trade and investment are beneficial for both the United States and China, and decoupling from China would be catastrophic.

US Treasury Secretary Yellen

As the two largest economies in the world, it is our responsibility to maintain cooperation in international affairs.

American media: The current test is whether the two countries can establish a "new normal"

"The US and China are once again beginning dialogue, and the global economic order is at a critical juncture." The Wall Street Journal reported on the 5th that the governments of the US and China are resuming dialogue. The current test is whether the United States and China can establish a new normal to avoid disrupting the global economy or plunging their relationship back into a vicious cycle of mutual blame and countermeasures.

Lin Han, the head of Asia Group China at an American consulting firm, said that what American companies can "feel comforted" is that the leaders of the United States and China are seeking ways to ease the tension, "which gives companies space to breathe.". He also pointed out that the tension between the United States and China may temporarily calm down, but as we enter next year's US election season, Washington may become noisy again.

Reporter from CBS

Of course, this is a high-risk meeting and will also be a challenge. Because we have seen that this involves many different groups, and both the United States and China have multiple interests in this field.

Foreign media: Yellen China will focus on readjusting the relationship between the two major economies

Foreign media believe that US Treasury Secretary Yellen's first visit to China will focus on readjusting the relationship between the world's two largest economies, but the outside world does not have high expectations for the results of Yellen's visit to China.

According to reports from US media, senior officials from the US Treasury Department have stated that they do not expect any significant breakthroughs from this visit. However, the US hopes to engage in constructive discussions with China and establish longer-term communication channels. Yellen's trip will promote communication and cooperation between the two sides in the economic aspect. China and the United States jointly account for 40% of global economic output, and Washington is not seeking decoupling between the two economies.

Robert Ross, a researcher at the Quincy Institute in the United States

My expectations are not high. The purpose of her trip is not to normalize or stabilize the relationship between the two countries, but to demonstrate that the United States is willing to engage in diplomacy. We want to show Europe and Asia that we are willing to cooperate and that we want to ease tensions, as Europe and some other places are very concerned that the United States is "pushing the limits" or creating tension. This trip is a response to this concern.

Analysis: Repairing Sino US relations cannot be solved with just one or two high-level visits

Analysis has pointed out that repairing China US relations cannot be solved by just one or two high-level visits, and the US side has said and done more than once. However, even so, sustained high-level exchanges are still crucial for both China and the United States.

Senior Advisor to the Center for International Strategic Studies, Gan Side, stated that "the top economic executives of China and the United States have had almost zero exchanges for over three years, which is dangerous for the global economy." Jack Colvin, Chairman of the US Foreign Trade Commission, believes that Yellen's visit may help establish a "new normal" for both sides and establish a foundation in bilateral relations. Despite the previous cooling of relations between the two countries, data from the US Department of Commerce shows that trade between China and the United States has maintained growth for the third consecutive year in 2022.

Economic and trade cooperation has always been the "ballast stone" of China US relations

In fact, at the bilateral level, economic and trade cooperation has always been the "ballast" and "propeller" of China US relations. The total economic output of China and the United States exceeds one-third of the world, contributing over 50% to global economic growth. Mutual benefit cooperation provides sustained growth momentum and development opportunities for both countries and the world economy.

In recent years, economic and trade cooperation between the two sides has still shown strong vitality despite the containment of the United States. The trade volume between China and the United States has repeatedly reached new highs, exceeding $750 billion in 2021 and reaching approximately $760 billion in 2022. All sectors of the United States, especially the business and civil society, urgently hope to break free from top-down constraints and promote cooperation in various fields back to the track of prosperity and development.

Full of expectations for the Chinese market, many American companies oppose "decoupling and chain breaking"

Since the beginning of this year, many American corporate executives have come to China, and many have expressed their enthusiasm, anticipation, and determination to strengthen cooperation with China and increase investment in the Chinese market. JPMorgan Chase CEO Jamie Damon said he hopes to continue expanding his business layout in Shanghai. Tesla CEO Elon Musk has expressed opposition to "decoupling and chain breaking" and is willing to continue expanding its business in China and sharing development opportunities in China. Craig Allen, President of the National Committee on US China Trade, said, "American companies are full of expectations for continuing to expand into the Chinese market. The economies of the United States and China cannot be 'decoupled', and strengthening cooperation is beneficial to the people of both countries."

Former US Treasury Secretary: The unstable world between the US and China is very dangerous

Data shows that China has maintained its position as the world's largest country in goods trade for six consecutive years and is a major trading partner of over 140 countries and regions. The International Monetary Fund predicts that China's economy will contribute approximately one-third of the world's economic growth this year. Former US Treasury Secretary Paulson wrote in Foreign Affairs that without stable relations and cooperation on issues of common interest, the world would become "very dangerous and less prosperous".

Expert: Yellen's visit to China is another important opportunity for China US economic and trade communication and cooperation