Washington/Beijing: China’s top trade envoy is preparing to travel to the US for crucial talks, a senior Chinese official said on Monday despite President Donald Trump’s surprise announcement, threatening to impose more punishing taxes on USD 200 billion worth of Chinese products due to slow progress in negotiations.
The brief statement from Chinese Foreign Ministry Spokesman Geng Shuang came as media reports said China is considering to cancel the high-level trade talks with the US, leading to tumbling of shares and oil prices across the Asian markets amid worries that the two major economic giants were once again on the path of confrontation.
Geng said China was “trying to get more information” following Trump’s surprise announcement he might impose 25 per cent tariffs on more Chinese imports.
Asked whether the top Chinese envoy, Vice Premier Liu He, would visit Washington as planned, Geng said, “a Chinese team is preparing to travel to the United States for trade talks.” He did not give more details when asked who might participate or whether the talks would go ahead as scheduled Wednesday in Washington.
President Trump’s remarks came on Sunday as the two countries locked in a longstanding trade war seemed near to striking a trade deal.
A high-level Chinese delegation led by Vice Premier Liu was scheduled to be in Washington to resume talks aimed at resolving the trade war that has cast a gloom over the world economy.
“China is considering cancelling trade talks that are to resume in Washington starting on Wednesday,” The Wall Street Journal reported Sunday quoting unnamed sources.
“There has been widespread expectations in recent days that an accord could be reached by Friday,” it said.
Quoting an unnamed source, CNBC News said the Chinese Vice Premier will likely cancel the trip he had planned for himself and a 100-person delegation for the final round of talks.
The US officials had previously said that a deal could be reached by Friday. “China shouldn’t negotiate with a gun pointed to its head,” an unnamed Chinese person was quoted as saying in the report.
Both the US and international firms have said they are being harmed by the trade war. The International Monetary Fund has warned a full-blown trade war would weaken the global economy.