Positive conclusion after Beijing trip
Yellen: World big enough for USA and China
7/9/2023 7:21 am
US Treasury Secretary Yellen sees US-China relations on firmer footing after her four-day visit to Beijing. Despite disagreements, she emphasizes the need for productive conversations. She sees similarities, especially when it comes to climate protection.
Her four-day visit to Beijing put China-US relations “on a more secure footing,” according to US Treasury Secretary Janet Yellen. “No visit will solve our challenges overnight,” Yellen said at the end of her stay at the US Embassy in Beijing. But she expects “this trip will help build a resilient and productive communication channel with China’s new economic team,” Yellen said.
Despite major differences of opinion between Beijing and Washington, which would have to be communicated directly, the world’s two largest economies have an “obligation” to manage their relations responsibly, stressed the US Treasury Secretary. The talks were “direct” and “productive.”
Both nations must now find a way “to live together and share global prosperity,” she said, stressing that high-level talks are “essential.” “We believe the world is big enough for both of our countries to thrive.”
Trade restrictions strain relationships
The disagreements include trade restrictions, which Washington believes are essential to protecting US national security. Yellen assured Washington would not use these measures to gain economic advantage.
All new measures would also be implemented in a “transparent manner,” Yellen said, with a view to other possible restrictions that could regulate US foreign investments in China more strictly. It would be “just a very targeted measure, limited to a few sectors where we (…) have security concerns,” said Yellen.
Cooperation in climate protection emphasized
Yellen had previously emphasized the great importance of cooperation on the subject of climate protection. It is “crucial” that Washington and Beijing continue to cooperate on financing climate-friendly investments. China and the USA are the largest CO₂ emitters in the world and at the same time make the largest investments in renewable energy. The two states therefore have “the responsibility and the ability to move forward,” Yellen said at a meeting with experts.
Yellen went to China on a four-day visit to defuse tensions between the two countries and discuss opportunities for cooperation. Beijing had already struck a comparatively optimistic note on relations between the two countries in the run-up to the visit. The Chinese Ministry of Finance said on Friday that it hopes to “strengthen communication and exchange between the two countries”.