U.S. hopes for ‘good deliverables’ during Trump’s China visit

U.S. Secretary of Commerce Wilbur Ross meets Chinese Premier Li Keqiang at the Zhongnanhai state guesthouse in Beijing, China, September 25, 2017.

By Christian Shepherd

BEIJING (Reuters) – The United States hopes there will be some “very good deliverables” when President Donald Trump visits China, U.S. Commerce Secretary Wilbur Ross said on Monday, striking an upbeat tone amid trade tensions between the two countries.

Trump will likely visit China in November as part of a trip that will take him to an Association of Southeast Asian Nations (ASEAN) summit in the Philippines and an Asia-Pacific Economic Cooperation (APEC) summit in Vietnam.

China’s relationship with the United States has been strained by the Trump administration’s criticism of China’s trade practices and by demands that Beijing do more to pressure North Korea to halt its nuclear weapons and missiles programs.

Meeting in Beijing, Ross told Chinese Premier Li Keqiang he and his delegation had been greeted very warmly which augurs well for Trump’s forthcoming trip to meet Chinese President Xi Jinping.

“We are looking forward to a very good session including a lot of American CEOs and we hope there will be some very good deliverables,” Ross said, in comments in front of reporters.

Li told Ross that the two countries’ common interests far outweighed their differences and their economic and trade relationship had enormously benefited both countries and the world.

“China is the world’s largest developing country while the United States is the world’s biggest developed country,” Li said.

“In addition to that, China and the United States are the largest trading partners with each other, so I think it is fair to say that our common interests far outweigh our differences and divergences,” he added.

“Over the years, economic and trade relations between our two countries have always served as a ballast for our overall bilateral relationship and also these important trade and economic relations have benefited enormously our two peoples as well as the whole world.”

State media quoted Li as further saying that China hopes the United States will give fair treatment to Chinese companies’ investments there, as well as ease restrictions on high-tech exports.

Meeting earlier in the day, Chinese Commerce Minister Zhong Shan told Ross that there was huge potential for cooperation and China was willing to “manage and control” disputes, the ministry said in a statement.

China was willing to create good conditions for Trump’s visit and ensure his trip was fruitful, Zhong added.

Xi and Trump met for the first time in person at Trump’s Mar-A-Lago estate in Florida in April. Trump has since played up his personal relationship with Xi, even when criticizing China over North Korea and trade.

The two sides launched a 100-day economic plan at that meeting, including some industry-specific announcements such as the resumption of American beef sales in China.

There has since been limited progress on trade relations.

Ross’s visit comes at a time of heightened trade tensions between the United States and China following Trump’s decision earlier this month to block a Chinese-backed private equity firm from buying a U.S.-based chipmaker.

In August, Trump authorized an inquiry into China’s alleged theft of intellectual property – the first direct trade measure by his administration against Beijing.

During his campaign, Trump vowed repeatedly to declare China a currency manipulator once in office but in April backed off from that threat.

Trump’s administration has also repeatedly called on China to do more to rein in North Korea and has threatened new sanctions on Chinese banks and other firms doing business with Pyongyang.

China says it is already doing all it can to pressure North Korea and that those countries directly involved in the stand-off on the peninsula should take responsibility for resolving tensions.

There was no mention of North Korea in the comments Li and Ross made in front of reporters.

 

(Reporting by Christian Shepherd; Writing by Ben Blanchard; Editing by Nick Macfie)

 

Trump has ‘friendly’ call with Mexican leader but demands change

Mexico's President Enrique Pena Nieto is seen during the delivery of a message about foreign affairs at Los Pinos presidential residence in Mexico City, Mexico,

By Roberta Rampton and Emily Stephenson

WASHINGTON (Reuters) – U.S. President Donald Trump said he had a friendly phone call with Mexico’s president on Friday but asserted he will renegotiate trade deals and other aspects of the countries’ ties because Mexico has “beat us to a pulp” in the past.

Mexico’s peso extended gains on news of the call.

The two men spoke for about an hour on Friday, a day after President Enrique Pena Nieto scrapped a planned meeting in Washington next week over Trump’s instance that Mexico pay for a multibillion-dollar border wall.

“It was a very, very friendly call,” Trump told a joint news conference with visiting British Prime Minister Theresa May.

“We are going to be working on a fair relationship and a new relationship” with Mexico, Trump added. “But the United States cannot continue to lose vast amounts of business, vast amounts of companies and millions and millions of people losing their jobs.

“That won’t happen with me.”

Trump’s fresh insistence that Mexico pay for the wall and Pena Nieto’s cancellation of his visit deepened a crisis between the two countries in the first week of Trump’s presidency.

Trump said Mexico has “out-negotiated us and beat us to a pulp through our past leaders. They’ve made us look foolish.”

He said the United States will “renegotiate our trade deals and we’re going to renegotiate other aspects of our relationship with Mexico. And in the end I think it will be good for both countries.”

The Republican president views the wall, a major promise during his election campaign, as part of a package of measures to curb illegal immigration. Mexico has long insisted it will not heed Trump’s demands to pay for the construction project.

An official at the Mexican president’s office confirmed the call and said a statement would be issued later with more details.

On Thursday, White House spokesman Sean Spicer sent the Mexican peso falling to its low for the day when he told reporters that Trump wanted a 20 percent tax on Mexican imports to pay for the wall.

Spicer gave few details, but his comments resembled an existing idea, known as a border adjustment tax, that the Republican-led U.S. House of Representatives is considering as part of a broad tax overhaul.

Mexico and the United States will be stuck at an impasse unless they solve Trump’s “unacceptable” demand of payment for the border wall, Mexico’s Economy Minister Ildefonso Guajardo said on Friday.

Just back in Mexico from failed talks in Washington, Guajardo also expressed concern about Trump’s “unpredictability” and habits on Twitter.

(Additional reporting by Steve Holland in Washington and Lizbeth Diaz in Mexico City; Writing by Will Dunham; Editing by Jonathan Oatis)