Trade War Cannot Reduce US Trade Deficit but Helps China Grow Stronger


An article on The Hill yesterday titled “Trump already has won the trade war with China” says Trump has already been able to get 90% of what he wants in his trade war with China. However, he would not stop and keeps on tariff rises to hurt US and world economy.

The article lists what trump has or would have got from China if he simply accepted Chinese commitments in the trade negotiations, such as reduction of US trade deficit by Chinese purchase of lots of US energy and agricultural products, protection of intellectual property, prevention of forced transfer of technology, end of government subsidies to industries, ensure of fair treatment for US entities, etc.

What is Trump’s strategic goal?

The article says, “In the U.S., President Trump appears to be holding out for a starkly decisive outcome — equivalent to China’s unconditional surrender — to maximize his political standing for winning re-election in 2020.”

Trump’s problem is his failure to see China’s strategic goal. China would not surrender as it wants Trump to keep on US pressure to facilitate China’s further reform and opening up for transformation from export- and investment-geared growth to innovation-, creation- and consumption-led growth.

Such transformation certainly will slow down China’s economy. US trade war only quickens the transformation while worsen the slowdown. However, such slowdown is but short-term. In the long run the transformation will enable China to achieve better growth later.

To keep exports to the US, China has to move its labor intensive export-oriented enterprises to its neighbors where labor costs are lower.

China has been helping Sri Lanka train workers for employment in Sri Lanka’s vast special economic zone near Hambantota to enable China to move such enterprises to the zone. The port China is building there will facilitate the exports.

Similar zones are being established in Bangladesh and Myanmar since China signed memorandums of understanding with them on the establishment of China-Bangladesh Economic Corridor and China-Myanmar Economic Corridor last year.

China-Pakistan Economic Corridor is being built and there are also such zones for China to move such enterprises there.

The construction of infrastructures of power stations, roads, railways and ports in those countries under China’s Belt and Road initiative will facilitate such movements.

US tariff hikes will only quicken such movements to avoid the hikes. China will only have the problem of substantial unemployment due to the movements, but the unemployed will blame US tariff hikes instead Xi Jinping’s economic transformation.

On the other hand, Chinese enterprises in those countries will make greater profits due to reduction of labor costs and have greater competitive edge in US market in exporting their products to the United States. As US enterprises cannot compete with them due to much higher labor costs, the US has to keep on importing the products. Its trade deficit will increase instead of decrease. However, China is not to blame as the deficit of trade with China has been switched to that of trade with China’s neighbors.

Comment by Chan Kai Yee on The Hill’s article, full text of which can be viewed at https://thehill.com/opinion/finance/458846-trump-already-has-won-the-trade-war-with-china

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Trump delays tariffs on Chinese cellphones, laptops, toys; markets jump


David Shepardson, David Lawder

WASHINGTON (Reuters) – U.S. President Donald Trump on Tuesday backed off his Sept. 1 deadline for 10% tariffs on remaining Chinese imports, delaying duties on cellphones, laptops and other consumer goods, in the hopes of blunting their impact on U.S. holiday sales.

The delay which, affects about half of the $300 billion target list of Chinese goods – along with news of renewed trade discussions between U.S. and Chinese officials – sent stocks sharply higher and drew cautious relief from retailers and technology groups.

Trump’s 10% tariffs will be effective from Dec. 15 for thousands of products including clothing and footwear, possibly buttressing the holiday selling season from some of the fallout from the protracted trade spat between the world’s two largest economies.

We’re doing this for Christmas season, just in case some of the tariffs would have an impact on U.S. customers,” Trump told reporters in New Jersey. “Just in case they might have an impact on people, what we’ve done is we’ve delayed it so that they won’t be relevant to the Christmas shopping season.”

The U.S. Trade Representative’s Office announced the decision just minutes after China’s Ministry of Commerce said Vice Premier Liu He conducted a phone call with U.S. trade officials.

Liu agreed with U.S. Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin to speak again by phone within the next two weeks, the ministry said.

Trump has said the two sides may still meet in early September as scheduled.

APPLE SHINES

The delay in tariffs on a substantial portion of a $300 billion list of remaining Chinese imports sent U.S. stocks surging, after steep losses in the past week, with the Standard & Poor’s 500 .SPX up 1.5% and the Nasdaq Composite .IXIC gaining nearly 2%.

Shares of market bellwether Apple Inc (AAPL.O) soared 4.2% on news that its core iPhone, tablet and laptop computer products would be spared from tariffs for the time being.

But the Trump administration still plans to impose 10% tariffs on thousands of Chinese food, clothing and other consumer electronics products beginning Sept. 1.

Among these are Chinese-made smartwatches from Apple and Fitbit (FIT.N), smart speakers from Amazon.com Inc AMZN., Google (GOOGL.O) and Apple, and Bluetooth headphones and other devices, a category estimated at $17.9 billion last year by the Consumer Technology Association.

Flat screen televisions from China, a category worth $4.5 billion, also will face 10% tariffs on Sept. 1 after being spared from Trump’s first round of tariffs more than a year ago.

Live animals, dairy products, skis, golf balls, contacts lenses, lithium ion batteries and snowblowers will also get tariffs on Sept. 1

Based on a Reuters analysis, the delay could extend to around half of the $300 billion list of remaining Chinese imports. Chinese imports subject to the tariffs on Dec. 15 totaled about $156 billion last year, according U.S. Census bureau data.

Most retailers would have stocked their holiday merchandise before the earlier September deadline, some might have faced the tariffs for fill-in orders late in the holiday shopping season.

Still, the Retail Industry Leaders Association said “removing some products from the list and delaying additional 10% tariffs on other products, such as toys, consumer electronics, apparel and footwear, until Dec. 15 is welcome news as it will mitigate some pain for consumers through the holiday season.”

The Consumer Technology Association applauded the delay on some items, but added: “Next month, we’ll begin to pay more for some of our favorite tech devices – including TVs, smart speakers and desktop computers. The administration should permanently remove these harmful tariffs and find another way to hold China accountable for its unfair trading practices.”

The 21-page-list of products that will not get hit with tariffs until December also includes baby monitors and strollers, microwaves, instant print cameras, doorbells, high chairs, musical instruments, ketchup dispensers, baby diapers, fireworks, sleeping bags, nativity scenes, fishing reels, paint rollers and food products.

A separate group of products will be removed from the tariff list altogether, the USTR said, “based on health, safety, national security and other factors.” It did not immediately identify these items.

Trump announced the Sept. 1 tariffs less than two weeks ago, blaming China for not following through on promises to buy more American agricultural products during talks in Shanghai at the end of July. That move was met with a drop in China’s yuan currency a few days later, prompting the Trump administration to declare Beijing a currency manipulator and sending markets tumbling for several days last week.

Since Trump’s Aug. 1 tweets announcing the new tariffs, the U.S. benchmark S&P stock index has dropped more than 4%.

The tariff delay, combined with renewed talks with China, suggest Trump may be willing to compromise.

In a sign the administration may be expecting something in return, Trump tweeted on Tuesday: “As usual, China said they were going to be buying “big” from our great American Farmers. So far they have not done what they said. Maybe this will be different!” Trump tweeted.

Trump’s tariff delay comes amid growing concerns about a global economic slowdown. Goldman Sachs said on Sunday fears of the U.S.-China trade war leading to a recession were increasing and Goldman no longer expects a trade deal between the two countries before the 2020 U.S. presidential election.

Trump has also personally criticized Chinese President Xi Jinping for failing to do more to stem sales of the synthetic opioid fentanyl amid an opioid overdosing crisis in the United States.

The USTR office plans to conduct an exclusion process that could allow more items to be removed from the 10% tariff list.

Reporting by David Shepardson, David Lawder, Makini Brice and Susan Heavey in Washington; additional reporting by Jeff Mason in Morristown, New Jersey; editing by Tim Ahmann and Marguerita Choy

Source: Reuters “Trump delays tariffs on Chinese cellphones, laptops, toys; markets jump”

Note: This is Reuters’ report I post here for readers’ information. It does not mean that I agree or disagree with the report’ views.


Trump hits China with more tariffs, says Xi moving too slow on trade


Andrea Shalal, Alexandra Alper

August 1, 2019 / 3:38 PM / Updated 10 minutes ago

By Andrea Shalal and Alexandra Alper

WASHINGTON (Reuters) – U.S. President Donald Trump said he plans to impose a 10% tariff on $300 billion of Chinese imports from Sept. 1 and could raise tariffs further if China’s President Xi Jinping fails to move more quickly to strike a trade deal.

The announcement on Thursday extends Trump’s trade tariffs to nearly all China’s imports into the United States and marks an abrupt end to a temporary truce in a trade war that has disrupted global supply chains and roiled financial markets.

I think President Xi … wants to make a deal, but frankly, he’s not going fast enough,” Trump said.

Trump made the announcement in a series of Twitter posts after his top trade negotiators briefed him on a lack of progress in U.S.-China talks in Shanghai this week.

Trump later said if trade negotiations fail to progress he could raise tariffs further – even beyond the 25 percent levy he has already imposed on $250 billion of imports from China.

The news hit U.S. financial markets hard.

Oil prices plummeted 7%, with Brent crude registering the biggest daily percentage drop since February 2016. The benchmark S&P 500, which had been in solidly positive territory on Thursday afternoon, closed down 0.9%. Benchmark U.S. Treasury yields also fell.

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Retail associations predicted a spike in consumer prices. Target Corp tumbled 4.2%, Macy’s Inc fell 6% and Nordstrom Inc was down 6.2%.

Asked about the impact on financial markets, Trump told reporters: “I’m not concerned about that at all.”

Moody’s said the new tariffs would weigh on the global economy at a time when growth is already slowing in the United States, China and the euro zone.

The tariffs may also force the Federal Reserve to again cut interest rates to protect the U.S. economy from trade-policy risks, experts said.

Raising tariffs would lower the prospects of a deal rather than expedite it, China’s Global Times newspaper said. Beijing would focus more on efforts to survive a prolonged trade war, Hu Xijin, editor-in-chief of the Communist Party-backed newspaper, said on Twitter.

New tariffs will by no means bring closer a deal that the U.S. wants; it will only make it further away,” Hu said.

FRUSTRATED

U.S. Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin briefed Trump on their first face-to-face meeting with Chinese officials since Trump met Xi at the G20 summit at the end of June and agreed to a ceasefire in the trade war.

When my people came home, they said, ‘We’re talking. We have another meeting in early September.’ I said, ‘That’s fine, but until such time as there’s a deal, we’ll be taxing them,” Trump told reporters.

A source familiar with the matter said Trump grew frustrated and composed the tweets shortly after Lighthizer and Mnuchin told him China made no significant movement on its position.

Previous negotiations collapsed in May, when U.S. officials accused China of backing away from earlier commitments.

American business groups in China expressed disquiet over the latest round of U.S. tariffs. The U.S.-China Business Council said on Friday it was concerned the action “will drive the Chinese from the negotiating table, reducing hope raised by a second round of talks that ended this week in Shanghai.”

We are particularly concerned about increased regulatory scrutiny, delays in licenses and approvals, and discrimination against U.S. companies in government procurement tenders,” said the U.S.-China Business Council’s President Craig Allen in an e-mail.

Ker Gibbs, the president of the American Chamber of Commerce in Shanghai, urged both sides to keep talking.

Gibbs said that as market access in China “remains unnecessarily restricted,” the United States should continue its dialogue with Beijing, and “also work with like-minded countries to persuade China that fair and reciprocal trade and investment benefits all.”

CROPS AND DRUGS

Trump said Beijing had failed to stop sales of the synthetic opioid fentanyl to the United States, as it had promised to do. He also said Beijing had not fulfilled a goodwill pledge to buy more U.S. agricultural products.

Trump has failed to make good on a goodwill gesture he said he would make after the G20 meeting to relax restrictions on sales to Chinese telecommunications giant Huawei.

Trump had been pressing Xi to crack down on a flood of fentanyl and fentanyl-related substances from China, which U.S. officials say is the main source of a drug blamed for most of more than 28,000 synthetic opioid-related overdose deaths in the United States in 2017.

China had pledged that from May 1 it would expand the list of narcotics subject to state control to include the more than 1,400 known fentanyl analogues, which have a slightly different chemical makeup but are addictive and potentially deadly, as well as any new ones developed in the future.

The U.S. Department of Agriculture on Thursday confirmed a small private sale to China of 68,000 tonnes of soybeans in the week ended July 25.

It was the first sale to a private buyer since Beijing offered to exempt five crushers from the 25% import tariffs imposed more than a year ago. Soybean futures opened lower on Thursday as traders shrugged off the purchase because of the small volume involved, and losses accelerated after Trump’s tweets.

RETAIL IMPACT

The new tariffs will jack up prices for consumers at the start of the back-to-school buying season, four large retail trade associations said on Thursday.

President Trump is, in effect, using American families as a hostage in his trade war negotiations,” said Matt Priest, president of the Footwear Distributors and Retailers of America.

Stephen Lamar, executive vice president of the American Apparel & Footwear Association, said his group’s members were shocked that Trump had not allowed the resumed U.S.-China trade talks to proceed further before acting.

The measure will hit U.S. consumers far harder than Chinese manufacturers, who produce 42% of apparel and 69% of footwear purchased in the United States, Lamar said.

Reporting by Andrea Shalal and Alexandra Alper; Additional reporting by Stella Qiu and Beijing Monitoring Desk, and Brenda Goh in Shanghai; Steve Holland, David Lawder, Tim Ahmann, Susan Heavey, Makini Brice, Nandita Bose and Jonathan Landay in Washington, Chris Prentice in New York, and Mark Weinraub and Karl Plume in Chicago; Editing by Sonya Hepinstall, Grant McCool & Shri Navaratnam

Source: Reuters “Trump hits China with more tariffs, says Xi moving too slow on trade”

Note: This is Reuters’ report I post here for readers’ information. It does not mean that I agree or disagree with the report’ views.


Trump says China’s Xi has acted responsibly on Hong Kong protests


July 23, 2019 / 1:41 AM / Updated 6 hours ago

FILE PHOTO – Chinese President Xi Jinping attends the session 3 on women’s workforce participation, future of work, and ageing societies at the G20 Summit in Osaka on June 29, 2019. Kazuhiro Nogi/Pool via REUTERS

WASHINGTON (Reuters) – U.S. President Donald Trump said on Monday he believed Chinese President Xi Jinping has acted “very responsibly” with the protests in Hong Kong over an extradition bill that could see people from the territory sent to China for trial.

We’re working on trade deals right now. We’ll see what happens,” Trump told reporters at the White House before an unrelated meeting with Pakistani Prime Minister Imran Khan.

Hong Kong has been hit by a series of sometimes violent protests for over two months – its most serious crisis since the city was handed back to China by Britain in 1997 but with democratic freedoms under a “one country, two systems” formula.

I know that that’s a very important situation for President Xi,” Trump said, adding that “China could stop them if they wanted.”

I think that President Xi of China has acted responsibly, very responsibly.” Trump told reporters. “I hope that President Xi will do the right thing.”

Reporting by Roberta Rampton; writing by Doina Chiacu and Susan Heavey; editing by Grant McCool

Source: Reuters “Trump says China’s Xi has acted responsibly on Hong Kong protests”

Note: This is Reuters’ report I post here for readers’ information. It does not mean that I agree or disagree with the report’ views.


China’s Xi Exploits Trade War for Further Reform, Opening-up


Socialism with Chinese Characteristics Consolidated
The preceding three posts titled “Xi Jinping Typhoon”, “Xi Jinping’s Education on Democracy” and “Xi Jinping’s Rectification of CCP” all described what Xi has done to have consolidated and been consolidating China’s socialism with Chinese characteristics. Jiang Zemin and Wu Bangguo’s establishment of the rule of law, Hu Jintao’s Scientific Outlook on Development for CCP to “put the people first” and Xi Jinping’s abolishment of the re-education through labor system, mass line democracy and rectification of CCP are all China’s major political reforms. Those reforms have improved CCP’s governance of China and made CCP and its leaders very popular in China. CCP owes its successes to Chinese people’s vigorous support.

Western politicians and media simply fail to understand or turn blind eyes to such political reforms so that they have time and again criticized China’s “lack of political reform” and urge it to conduct a “democratic reform” to establish messy Western multi-party democracy in China. Chinese people, however, will not do so as they are fully confident about their own wonderful political system of socialist democracy with Chinese characteristics.

China’s is a successful democracy where people are free to make suggestions and criticism and CCP welcomes their suggestions and criticism. China’s organs of letters and calls always listen to people suggestions and criticism after Xi’s reform of those organs.

The following simple facts prove which democracy is better: In China, new advanced infrastructures are being built daily but in spite of the huge wealth in the country, the US lacks funds to fix or rebuild thousands of its bridges in poor conditions.

Certainly, in order to achieve further economic growth, in addition to the above political reforms, China has to conduct further economic reform and opening up

Futher Economic Reform, Opening up Indispensable
Xi’s predecessor Hu Jintao has already realized the need of further reform to switch from export- and investment-geared economic growth to innovation-, creation- and consumption-geared economic growth. He had become especially aware of that after his premier Wen Jiabao’s injection of 4 trillion yuan to counter the recession caused by US subprime mortgage crisis in 2008. The injection had given rise to serious problems, including excessive production capacity, surplus of products without sufficient market, rocketing property prices, etc. though it had stopped the economic downturn caused by the crisis.

It has proved that their old tricks of seeking export- and investment-geared economic growth no longer worked. If China kept on adopting such old tricks, it would have to face dire consequences, but for quite a long time since China refused to adopt the old tricks, China’s economic growth rate has kept on dropping.

Xi’s Reform Efforts
Xi carries on Hu’s further reform and has made some progress but far from enough as the reform is a hard and even bitter transformation. Lots of export-oriented enterprises have either to move abroad to lower their labor cost or switch to products with higher technology through innovation and creation.

For those enterprises, Xi has put forth the Belt and Road initiative to build infrastructures in underdeveloped countries to facilitate transfer of export-oriented industries to countries with cheaper labor and the Made in China 2025 Plan to encourage and subsidize innovation and creation.

Xi has already begun to carry out the initiative and plan but it takes time to attain the goals. If Xi has already attained the above-mentioned goals, Trump’s trade war cannot hurt China. Now the trade war may give rise to quite serious hardship as the transformation needs more time. Quite a few enterprises focusing on export to the US may close down and lots of their employees may be unemployed.

Trade War Facilitates Xi’s Reform
As the hardship is caused by Trump’s trade war attacks, due to patriotism, Chinese people will stand the hardship courageously. Trade war will only facilitate Xi’s reform and opening-up and make Chinese people rally around Xi in fighting back.

On the other hand, Xi may make Trump happy by further opening up China,

On the surface, further opening-up may facilitate foreign enterprises’ entries into the Chinese market at the expense of Chinese ones. However, Xi knows well that protectionism can only protect backward enterprises. Foreign enterprises may bring into China products of more advanced technology than Chinese ones and thus stimulate Chinese enterprises to improve in order to win competition.

China’s achievements after its entry into the WTO have proved Chinese people’s talents and ability to compete with strong foreign competitors. Only economic liberalization can give full play to Chinese people’s potential and enable China to have a wonderful future and realize China Dream.

Moreover, China has abundant financial resources and gives priority to funding and subsidizing the research and development of science and technology. It has attracted lots of talent including talent from abroad with generous remuneration packages and made great efforts to implement its Made in China 2025 plan. Xi’s first priority is to realize his China Dream of national rejuvenation. How can he attain his goal if China cannot become the best in the world in science and technology?

Restration of Socialist Camp
The above is Xi’s domestic moves. Internationally, Xi as a communist will make efforts to restore the socialist camp. Due to the changes of times, the socialism in Xi’s camp will certainly be different from that of the socialism of the collapsed socialist camp of the Soviet Union. It will be the socialism adapted to the changes of times and the different national situation in various countries. Anyway, it certainly is not the socialism with monolithic public ownership. Like Xi’s socialism, countries in the camp will focus on lifting people from poverty, economic growth and improvement of people’s living standards. That will be discussed later.

Article by Chan Kai Yee


China to stand firm as trade talks with U.S. restart: state media


June 20, 2019 / 8:25 AM / Updated 2 hours ago

SHANGHAI (Reuters) – Upcoming trade talks between the leaders of China and the United States are unlikely to immediately resolve major disagreements between the two sides but could start a new phase in negotiations, Chinese state media said on Thursday.

China and the United States earlier this week said they were reviving talks ahead of a meeting next week between Presidents Donald Trump and Xi Jinping, cheering financial markets on hopes that it may ease intensifying trade frictions.

Talks to reach a broad deal broke down last month after U.S. officials accused China of backing away from previously agreed commitments.

The two countries are in the middle of a costly trade dispute and have slapped increasingly severe tariffs on each other’s imports. China has vowed to not give in on issues of principle or under U.S. pressure.

Both parties are “in the mood for serious dialogue” as a full-blown trade war was “lose-lose” but one single meeting is unlikely to wrap everything up, the official China Daily said in an editorial.

“The two parties’ expectations are too divergent to allow that,” it said.

“More likely than not, the one-on-one meeting will end up being the start of a new phase in the negotiations with the two leaders personally setting out their country’s respective bottom lines.”

The Global Times, which said that China had held the telephone conversation with the United States upon request, said Beijing had sent a clear signal to Washington that “China can never be daunted.”

“Negotiation outcomes are not often obtained through talks, but through fights. If desiring a good negotiation result, China must persist and not fear,” said the newspaper, which is published by the ruling Communist Party’s People’s Daily.

“As trade between China and the U.S. is highly likely to continue, the two countries may eventually reach an agreement. But China will not be impatient or afraid of setbacks.”

China has managed to get the United States back to the table with its determination and ability to “prepare for war”, Taoran Notes, a widely read and influential WeChat account run by the Economic Daily, wrote late on Wednesday.

“Only by being able to fight, daring to fight and being good at fighting can you stop a war,” it wrote.

The costly trade dispute between the world’s largest economies has pressured financial markets and damaged the world economy.

Trump has threatened to put tariffs on another $325 billion of goods, covering nearly all the remaining Chinese imports into the United States, including consumer products such as cellphones, computers and clothing.

Reporting by Brenda Goh; Additional reporting by Ben Blanchard in BEIJING; Editing by Sam Holmes and Michael Perry

Source: Reuters “China to stand firm as trade talks with U.S. restart: state media”

Note: This is Reuters’ report I post here for readers’ information. It does not mean that I agree or disagree with the report’ views.


US Trade Representative Robert Lighthizer says he will meet with Chinese counterpart ahead of Trump-Xi meeting at G-20


Published Wed, Jun 19 2019 • 10:13 AM EDT|Updated 6 hours ago

Kevin Breuninger@KevinWilliamB

Key Points

  •  U.S. Trade Representative Robert Lighthizer said Wednesday that he will be speaking with a Chinese official before President Donald Trump meets with Chinese President Xi Jinping at the G-20 summit.
  • But it’s still unclear when the currently stalled trade negotiations between the two economic superpowers will restart, Lighthizer said.
  • Asked by Rep. Kevin Brady, R-Texas, ranking member of the House Ways and Means Committee, if the U.S. would be ready to engage with China if they returned to the negotiating table, Lighthizer said, “Absolutely, we are ready to engage.”

U.S. Trade Representative Robert Lighthizer said Wednesday that he will be speaking with a Chinese official before President Donald Trump meets with Chinese President Xi Jinping at the upcoming G-20 summit.

But it’s still unclear when the currently stalled trade negotiations between the two economic superpowers will restart, Lighthizer said.

“I have a conversation set up with my counterpart on the telephone in the next day and a half, and then I expect to meet with him with [Treasury Secretary Steven] Mnuchin in Osaka before the president meets” with Xi, Lighthizer testified before the House Ways and Means Committee.

Trump announced in a tweet Tuesday that he would have an “extended meeting” with Xi at the summit, which is scheduled for June 28-29 in Osaka, Japan. Xi confirmed the plans to Chinese state media soon after.

Talks between the U.S. and China on a new trade agreement ground to halt in May amid disagreements between negotiators — including Lighthizer’s counterpart, Chinese Vice Premier Liu He. The U.S. alleges China reneged on prior commitments made over the course of the discussions.

“When actual negotiations begin again, I can’t say at this point,” Lighthizer told the Democrat-led committee.

“We’re talking, we’re going to meet, and, you know, we have the same objective that you and the other members have. And that is that if we can resolve these issues in a way that improves this relationship, preserves the competitive advantage of the United States, we have an obligation to do that, and hopefully we’ll get to that point,” he said.

Asked by the committee’s ranking member, Rep. Kevin Brady, R-Texas, if the U.S. would be ready to engage with China if they returned to the negotiating table, Lighthizer said, “Absolutely, we are ready to engage.”

The U.S. and China have slapped punitive tariffs on hundreds of billions of dollars of imports of each other’s goods. In May, Trump hiked tariffs on $200 billion in Chinese imports, and threatened to slap duties on another $300 billion after talks stalled out that month.

Trump said last week that he will also meet with Russian President Vladimir Putin at the G-20 summit. Xi met with Putin earlier in June, and heaped praise on the Russian leader.

Source: CNBC “US Trade Representative Robert Lighthizer says he will meet with Chinese counterpart ahead of Trump-Xi meeting at G-20”

Note: This is CNBC’s report I post here for readers’ information. It does not mean that I agree or disagree with the report’ views.