New round of trade war talks

Senior US officials will visit Beijing for a new round of trade war talks from March 28 to 29, followed by a trip to the US by China’s top negotiator in April, the Chinese commerce ministry said on Thursday.

The back-to-back trips come as Washington and Beijing battle over the final shape of a trade deal, with American officials demanding profound changes to Chinese industrial policy.

US Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin are returning to the Chinese capital next week. After their visit, Chinese Vice-Premier Liu He would head to the US in April to continue the negotiations, Gao said.

President Donald Trump warned on Wednesday that US tariffs on Chinese imports could remain in place for a substantial period, dampening hopes that an agreement would see them lifted soon.

Over the last eight months, the US and China have slapped tariffs on more than $360bn (R5-trillion) in two-way goods trade, weighing on the manufacturing sectors in both countries. On Friday, China’s rubber-stamp parliament approved a foreign investment law to strengthen protections for intellectual property – a central US grievance – but critics said the bill was rammed through without sufficient time for input from businesses.

Beijing has expressed willingness to increase purchases of American commodities, such as energy and soybeans.

But analysts say Chinese officials will be reluctant to accede to demands that could weaken the Communist Party’s hold on power.