China Still Hopes to Resume Trade Talks With US

Forex News

US tariffs on $200 billion worth of Chinese goods and retaliatory taxes by Beijing on $60 billion worth of American products including liquefied natural gas took effect on Monday, unnerving global financial markets. The S&P 500 and the Dow closed lower on Monday after a new round of US-China trade tariffs kicked in, dampening last week’s hopes for talks between the two countries.

Several rounds of US-China trade talks in recent months have appeared to produce no breakthroughs, and fresh mid-level negotiations which had been expected in coming weeks have been shelved after Beijing reportedly decided late last week not to send a delegation to Washington.

Chinese officials stated, that it was difficult to proceed with trade talks with the United States while Washington is putting "a knife to China's neck". China Vice Commerce Minister Wang Shouwen said, he still hopes "there is a way out" if both sides treat each other with sincerity, analysts say neither side looks to be in the mood to compromise in the increasingly bitter dispute, raising the risk of a lengthy battle that could chill the global economy by discouraging business investment and disrupting trade.

When the talks can restart would depend on the "will" of the United States, Vice Commerce Minister Wang Shouwen said.