US Doesn’t Want ‘Balanced’ Trade Deal with China at G-20 Summit

Saturday, 29 Jun, 2019

"This also impacts common interests of our countries, overshadows the peace and stability world wide", Xi told a gathering of leaders of the BRICS grouping of nations on the sidelines of the G20 meet.

A White House official said Trump wanted to promote to Abe and Modi "a resilient quality secure infrastructure" - a reference to the U.S. push with allies to keep the Chinese company out of next generation telecoms networks.

The pair were strategically seated opposite each other at Friday's working dinner after a day during which Trump took a broadly conciliatory tone.

"We've been ripped off by everybody over the years". They shook hands and briefly exchanged some words.

The trade feud and signs of a global slowdown have loomed over a two-day Group of 20 (G20) summit in the Japanese city of Osaka, where Trump and Xi met in passing and prepared for one-on-one talks on Saturday.

The investment community is skeptical a deal can be reached, especially in just 90 minutes-but many investors remain hopeful both sides will agree to a truce and renew negotiations, potentially staving off another round of tariffs set to hit all Chinese imports.

Leaders prepare to pose for a family photo at the G20 Summit in Osaka on June 28, 2019.

Beijing will insist Trump lift tariffs on Chinese goods while undoing a ban on the sale of United States technology to Chinese telecom company Huawei Technologies, the Wall Street Journal reported, citing Chinese officials with knowledge of the plan.

Yesterday, White House adviser Kudlow noted that there were no preconditions in trade talks with China while Reuters reported that a Trump administration source said that it was unlikely for the U.S.to lift the restrictions on Huawei as a part of a trade deal.

In his conversations with his peers Cyril Ramaphosa (South Africa), Abdel Fattah El-Sisi (Egypt) and Macky Sall (Senegal), he warned about the threats posed by protectionism and the harassment of companies for the global order and economic globalization.

"I would be very, very surprised if they could work out all of these complicated disagreements in the next few days", said David Dollar, a China expert at the Washington-based Brookings Institution.

Trade will be far from the only contentious issue on the table, with climate change emerging as another sticking point.

As a heat wave sweeps through Europe, Japan is hoping to bridge the gaps between European Union leaders who want strong action and an American administration committed to withdrawing from the Paris climate agreement.

The G20 members should respect objective laws and give play to the role of market, so as to adapt to the requirement of the development of the productive force, said the Chinese president.

With Macron insisting the issue is a "red line", Japanese officials concede agreement will be tough.

"We're taking in a fortune, and frankly it's not a very good thing for China, but it is a good thing for us", he said, referring to tariffs.

Abe urged G20 leaders to send a strong message in support of free and fair trade, warning that trade and geopolitical tensions were rising and downside risks to the global economy prevailed.