Amidst the grandeur of the Great Hall of the People in Beijing, U.S. Treasury Secretary Janet Yellen engaged in discussions with Chinese Premier Li Qiang, underlining the essence of collaborative endeavors despite the disparities prevailing between the two nations.
Yellen arrived in China with a focal point on trade policies that disadvantage American enterprises and laborers, a concern deeply entrenched in her priorities.
The Chinese government’s strategic subsidies and policy frameworks have incentivized substantial investments in solar panel and electric vehicle manufacturing within China, resulting in an overabundance of production capacity surpassing the local demand.
This proliferation in manufacturing scale has effectively driven down costs, inciting fierce price competitions in the realm of sustainable technologies. While this development signifies a boon for consumers and aligns with endeavors to curtail reliance on fossil fuels globally, Western governments harbor apprehensions regarding the potential inundation of their markets with competitively priced exports, thereby jeopardizing employment opportunities in America and Europe.
Within the resplendent Fujian room of the Great Hall, situated in the vicinity of Tiananmen Square, Yellen conveyed to Li, “Though there remains much to accomplish, I am of the belief that over the preceding year, we have managed to stabilize our bilateral relationship to a significant extent.”
“This does not imply disregarding our disparities or evading difficult dialogues,” she emphasized. “It entails recognizing that genuine progress can only be achieved through direct and transparent communication.”
Li remarked on the media’s avid interest in Yellen’s visit, stating, “It reflects the high hopes and expectations vested in nurturing the growth of the U.S.-China relationship.”
This rendezvous follows an agreement between the U.S. and China to engage in “intensive exchanges” concerning achieving more equitable economic growth, as delineated in a U.S. statement subsequent to extensive deliberations between Yellen and Chinese Vice Premier He Lifeng over two days in Guangzhou.
Both parties also concurred to initiate discussions on combating money laundering, albeit the precise timing and venue for these deliberations remain undisclosed.
“As the world’s foremost economies, we bear a shared responsibility to prudently manage our intricate relationship, both for the betterment of our respective nations and as a testament to global leadership in tackling pressing challenges,” articulated Yellen.
Concurrently, Yellen’s visit coincides with the scheduled meeting between Russian Foreign Minister Sergey Lavrov and China’s Foreign Minister Wang Yi, slated for Monday and Tuesday of the current week, as announced by China’s Ministry of Foreign Affairs.
China’s burgeoning economic ties with the Kremlin have experienced a notable surge since Russia’s incursion into Ukraine in February 2022. Although China refrains from directly supplying weaponry to Russia, the U.S. has expressed reservations regarding China’s export of commodities to Russia that possess dual utility, encompassing both civilian and military applications.
During a press briefing on Saturday, Yellen deliberated on the U.S.’s engagement with China in light of developments concerning Russia.
“We perceive there is further scope for collaboration, although we have yet to exhaust the possibilities. However, I view this as an area where substantive progress has already been realized,” she asserted. “They recognize the gravity of this matter to us.”
Additionally, on Sunday, Yellen engaged in discussions with Beijing Mayor Yin Yong, underscoring the pivotal economic role played by local governments, ranging from stimulating consumption patterns to mitigating instances of excessive investment. She underscored the significance of Beijing in the context of China’s economic landscape.
“I firmly believe that comprehending the intricacies of China’s economy and its future trajectory necessitates active engagement with local governing bodies,” asserted Yellen.
Subsequently, Yellen convened with students and faculty members at Peking University, further fostering avenues for dialogue and exchange of perspectives.
