The Indian Express (Delhi Edition)
Overcapacity to Tiktok covered during Yellen trip
US TREASURY Secretary Janet Yellen and her team are leaving China and returning to Washington after trying to tackle themajorquestionsofthedaybetweenthecountries.here’salook at what she tried to accomplish, what was achieved, and where things stand for the world’s two largest economies:
Unfair trade practices
Yellen said she wanted to go into the Us-china talks to address a major Biden administration complaintthatbeijing’seconomic model and trade practices put American companies and workersatanunfaircompetitivedisadvantage by producing highly subsidized solar products, electric vehiclesandlithium-ionbatteries at a loss, dominating the global market.
Chinese government subsidiesandotherpolicysupporthave encouraged solar panel and EV makersinchinatoinvestinfactories,buildingfarmoreproduction capacity than the domestic marketcanabsorb.shecallsthisovercapacity.
Money laundering and related crimes
After several rounds of meetings, the US Treasury and the Chinese central bank agreed to work together to stop money laundering in their respective financial systems.
Nearlyalltheprecursorchemicals that are needed to make the deadly substance fentanyl are coming from China into the US. The US says exchanging informationonmoneylaunderingrelated to fentanyl trafficking may help disrupt the flow of the precursor chemicalsintomexicoandtheus.
“Treasury is committed to usingallofourtools,includinginternational cooperation, to counter thisthreat,”yellensaidinaspeech announcing the formation of the group.
Tiktok
Efforts in the US to ban social media app Tiktok, owned by Chinese parent company Bytedance,wereraisedinitiallyby the Chinese during Us-china talks,aseniortreasuryofficialtold Theassociatedpress.thefirmhas in the past promoted a data security restructuring plan called “Project Texas” that it says sufficientlyguardsagainstnationalsecurity concerns.
However, US lawmakers have moved forward with efforts to either ban the app or force the Chinese firm to divest its interest in the company, which the White House has supported. In China this week, it was evident that there was little movement on the issue.
Yellen said at a news conference Monday that she supported the administration’s efforts to address national security issues that relate to sensitive personal data. “This is a legitimate concern,” she said.
“Many US social apps are not allowed to operate in China,” Yellensaid.“wewouldliketofind a way forward.”
RIDE-HAILING MAJOR Ola Cabs has decided to shut down its existing operations in the international markets like the UK, Australia,andnewzealandbythe end of this month.
The company has started sending out notifications to users abouttheimpendingclosure,with operationssettoceaseinaustralia from April 12. Ola had announced its rollout in Australia and New Zealandin2018.olawantstoconsolidate its domestic operations andprepareforanimpendingipo.
A spokesperson for the Softbank-backed company confirmed the development.