President Donald Trump said Friday that trade negotiations with <a href="http://www.wionews.com/world/had-productive-trade-meetings-with-china-us-secretary-mnuchin-197584">China</a> were going "extremely well" and again offered the possibility of extending the March 1 deadline for a sharp rise in punitive tariffs.

Senior officials completed two days of high-stakes talks in Beijing on Friday as they try to avert the US threat to more than double tariffs on $200 billion in Chinese goods, which would be an unwelcome shock to the world's second-largest economy as it already has shown signs of slowing.&nbsp;

"It is going extremely well," Trump said of the talks.&nbsp;

"The tariffs are hurting China very badly. They don't want them and frankly if we can make the deal it would be my honour to remove them," he told reporters at the White House.

The president confirmed his comments earlier this week that he might be willing to hold off on increasing tariffs to 25 per cent from the current 10 per cent, if Washington and Beijing are close to finalizing an agreement to deal with US complaints about unfair trade and theft of American technology.

"There is a possibility that I will extend the date," he told reporters. "If I see we're close to a deal or the deal is going in the right direction, I would do that."

After progress in the talks in Beijing, the fourth round of negotiations is scheduled for next week in Washington.

Trump said he likes tariffs which are bringing "many billions of dollars pouring into our Treasury," but continues to state that China is paying the duties, when in fact they are paid by US companies and ultimately by American consumers in the form of higher prices.

"The tariffs are hurting China very badly. They don't want them and frankly, if we can make the deal it would be my honour to remove them."

'The vibe is good'

Chinese President Xi Jinping hailed the "important step-by-step progress," and said he hoped the two delegations would continue to "work hard" for a "win-win" agreement, according to China's state news agency Xinhua.

Wall Street was cheered by the talks' optimistic tone, with the benchmark Dow Jones Industrial Average up more than 350 points or 1.5 per cent around midday.

American officials accuse Beijing of seeking global industrial predominance through an array of unfair trade practices, including the "theft" of American intellectual property and massive state intervention in commodities markets.

Since a December detente, China has resumed purchases of some US soybeans and dangled massive buying of American commodities to get US trade negotiators closer to a deal.

The talks have included discussion of purchases to reduce the "large and persistent bilateral trade deficit," the White House said in a statement.&nbsp;

But many China experts say Beijing's Communist Party rulers are unlikely to make significant changes to industrial policies without a long and tough fight.

Still, expectations for an accord have been growing as China faces pressure from slowing economic growth.&nbsp;

"We all believe that China-US relations have broad common interests in safeguarding world peace and stability and promoting global economic prosperity and development," Xi told the US negotiators.

US Trade Representative Robert Lighthizer, who led the American delegation, told Xi on Friday that while there was more work to do, they had made progress.

Lighthizer and US Treasury Secretary Steven Mnuchin and met with China's top trade negotiator Liu He, Foreign Minister Wang Yi and central bank chief Yi Gang.&nbsp;

Bloomberg News reported that the White House was considering a 60-day deadline extension, but Trump did not offer any particulars.&nbsp;

Trump's economic advisor Larry Kudlow said of the talks, "the vibe is good" but there was no decision yet on extending the 90-day tariff truce.

The two sides last year exchanged tariffs on more than $360 billion in two-way trade.

China's politically sensitive trade surplus with the US last year hit a record $323 billion as tariffs kept Chinese buyers away from American agricultural and energy exports.

Trump has said that any eventual trade deal would need to be sealed personally with Xi, though no date has been set for a meeting.

President Donald Trump said Friday that trade negotiations with China were going "extremely well" and again offered the possibility of extending the March 1 deadline for a sharp rise in punitive tariffs.

President Donald Trump said Friday that trade negotiations with China were going "extremely well" and again offered the possibility of extending the March 1 deadline for a sharp rise in punitive tariffs. Senior officials completed two days of high-stakes talks in Beijing on Friday as they try to avert the US threat to more than double tariffs on $200 billion in Chinese goods, which would be an unwelcome shock to the world's second-largest economy as it already has shown signs of slowing. "It is going extremely well," Trump said of the talks. "The tariffs are hurting China very badly. They don't want them and frankly if we can make the deal it would be my honour to remove them," he told reporters at the White House. The president confirmed his comments earlier this week that he might be willing to hold off on increasing tariffs to 25 per cent from the current 10 per cent, if Washington and Beijing are close to finalizing an agreement to deal with US complaints about unfair trade and theft of American technology. "There is a possibility that I will extend the date," he told reporters. "If I see we're close to a deal or the deal is going in the right direction, I would do that." After progress in the talks in Beijing, the fourth round of negotiations is scheduled for next week in Washington. Trump said he likes tariffs which are bringing "many billions of dollars pouring into our Treasury," but continues to state that China is paying the duties, when in fact they are paid by US companies and ultimately by American consumers in the form of higher prices. "The tariffs are hurting China very badly. They don't want them and frankly, if we can make the deal it would be my honour to remove them." 'The vibe is good' Chinese President Xi Jinping hailed the "important step-by-step progress," and said he hoped the two delegations would continue to "work hard" for a "win-win" agreement, according to China's state news agency Xinhua. Wall Street was cheered by the talks' optimistic tone, with the benchmark Dow Jones Industrial Average up more than 350 points or 1.5 per cent around midday. American officials accuse Beijing of seeking global industrial predominance through an array of unfair trade practices, including the "theft" of American intellectual property and massive state intervention in commodities markets. Since a December detente, China has resumed purchases of some US soybeans and dangled massive buying of American commodities to get US trade negotiators closer to a deal. The talks have included discussion of purchases to reduce the "large and persistent bilateral trade deficit," the White House said in a statement. But many China experts say Beijing's Communist Party rulers are unlikely to make significant changes to industrial policies without a long and tough fight. Still, expectations for an accord have been growing as China faces pressure from slowing economic growth. "We all believe that China-US relations have broad common interests in safeguarding world peace and stability and promoting global economic prosperity and development," Xi told the US negotiators. US Trade Representative Robert Lighthizer, who led the American delegation, told Xi on Friday that while there was more work to do, they had made progress. Lighthizer and US Treasury Secretary Steven Mnuchin and met with China's top trade negotiator Liu He, Foreign Minister Wang Yi and central bank chief Yi Gang. Bloomberg News reported that the White House was considering a 60-day deadline extension, but Trump did not offer any particulars. Trump's economic advisor Larry Kudlow said of the talks, "the vibe is good" but there was no decision yet on extending the 90-day tariff truce. The two sides last year exchanged tariffs on more than $360 billion in two-way trade. China's politically sensitive trade surplus with the US last year hit a record $323 billion as tariffs kept Chinese buyers away from American agricultural and energy exports. Trump has said that any eventual trade deal would need to be sealed personally with Xi, though no date has been set for a meeting.

Trump says could extend March 1 China tariff deadline

<a href="http://www.wionews.com/india-news/pulwama-terror-attack-nia-begins-investigation-7-detained-after-raids-197621">Pulwama terror attack: NIA begins </a><a href="http://www.wionews.com/india-news/pulwama-terror-attack-nia-begins-investigation-7-detained-after-raids-197621">investigation</a><a href="http://www.wionews.com/india-news/pulwama-terror-attack-nia-begins-investigation-7-detained-after-raids-197621">, 7 detained after raids</a>

As many as 7 people have been detained by security forces after the National Investigation Agency (NIA) joined Jammu and Kashmir Police'S probe into Pulwama terror attack on Friday. According to reports, multiple raids were conducted by security forces today.

<a href="http://www.wionews.com/world/trade-talks-with-us-to-continue-in-washington-next-week-chinese-president-xi-jinping-197619">Trade talks with </a><a href="http://www.wionews.com/world/trade-talks-with-us-to-continue-in-washington-next-week-chinese-president-xi-jinping-197619">US</a><a href="http://www.wionews.com/world/trade-talks-with-us-to-continue-in-washington-next-week-chinese-president-xi-jinping-197619"> to continue in Washington next week: Chinese President Xi Jinping</a>

Chinese President Xi Jinping said on Friday trade talks with the United States will continue in Washington next week and that he hopes the two sides will be able to reach a mutually beneficial deal in the upcoming negotiations, state media reported.

<a href="http://www.wionews.com/india-news/vijay-mallya-files-for-permission-to-appeal-in-uk-high-court-against-extradition-order-197615">Vijay Mallya files for permission to appeal in UK High Court against </a><a class="gr-progress" href="http://www.wionews.com/india-news/vijay-mallya-files-for-permission-to-appeal-in-uk-high-court-against-extradition-order-197615">extradition</a><a href="http://www.wionews.com/india-news/vijay-mallya-files-for-permission-to-appeal-in-uk-high-court-against-extradition-order-197615"> order</a>

Embattled liquor baron Vijay Mallya, wanted in India on alleged fraud and money laundering charges amounting to an estimated Rs 9,000 crores, has filed his application in the UK High Court, seeking permission to appeal against an extradition order signed by the British Home Secretary.

<a href="http://www.wionews.com/india-news/pulwama-terror-attack-india-summons-pakistan-high-commission-lodges-strong-protest-197574">Pulwama terror attack: India summons Pakistan High Commissioner, lodges strong protest</a>

New Delhi on Friday summoned Pakistan's High commissioner Sohail Mehmood and lodged a strong protest against the Pulwama attacked that killed more than 40 CRPF personnel on Thursday. Pakistan based terrorist group Jaish-e-Mohammad (JEM) had claimed responsibility for the attack.

<a href="http://www.wionews.com/world/new-brexit-talks-in-brussels-next-week-197609">New Brexit talks in Brussels next week</a>

Both Britain's minister for Brexit Stephen Barclay and opposition leader Jeremy Corbyn will visit Brussels next week for talks with EU negotiator Michel Barnier.

&nbsp;

Pulwama terror attack: NIA begins investigation, 7 detained after raids As many as 7 people have been detained by security forces after the National Investigation Agency (NIA) joined Jammu and Kashmir Police'S probe into Pulwama terror attack on Friday.

Pulwama terror attack: NIA begins investigation, 7 detained after raids As many as 7 people have been detained by security forces after the National Investigation Agency (NIA) joined Jammu and Kashmir Police'S probe into Pulwama terror attack on Friday. According to reports, multiple raids were conducted by security forces today. Trade talks with US to continue in Washington next week: Chinese President Xi Jinping Chinese President Xi Jinping said on Friday trade talks with the United States will continue in Washington next week and that he hopes the two sides will be able to reach a mutually beneficial deal in the upcoming negotiations, state media reported. Vijay Mallya files for permission to appeal in UK High Court against extradition order Embattled liquor baron Vijay Mallya, wanted in India on alleged fraud and money laundering charges amounting to an estimated Rs 9,000 crores, has filed his application in the UK High Court, seeking permission to appeal against an extradition order signed by the British Home Secretary. Pulwama terror attack: India summons Pakistan High Commissioner, lodges strong protest New Delhi on Friday summoned Pakistan's High commissioner Sohail Mehmood and lodged a strong protest against the Pulwama attacked that killed more than 40 CRPF personnel on Thursday. Pakistan based terrorist group Jaish-e-Mohammad (JEM) had claimed responsibility for the attack. New Brexit talks in Brussels next week Both Britain's minister for Brexit Stephen Barclay and opposition leader Jeremy Corbyn will visit Brussels next week for talks with EU negotiator Michel Barnier.

News brief: Big stories of the day

Chinese President Xi Jinping said on Friday trade talks with the United States will continue in Washington next week and that he hopes the two sides will be able to reach a mutually beneficial deal in the upcoming negotiations, state media reported.

Xi said during a meeting with US Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin that talks in Beijing this week made progress and that China is willing to solve economic and trade disputes with the United States via cooperation, according to a report by Xinhua.

Lighthizer and Mnuchin said during the meeting that they maintain hope although there is still much work to be done and that they are willing to work with China to reach a deal that is in line with the interests of both countries, according to Xinhua.

The US delegation had a banquet with Chinese counterparts at a Beijing hotel on Thursday night, a person with knowledge of the meetings said. But neither country had offered details on how the two sides might de-escalate a tariff war that has roiled financial markets and disrupted manufacturing supply chains.

US duties on $200 billion worth of imports from China are scheduled to rise to 25 per cent from 10 per cent if no deal is reached by March 1 to address US demands that China curb forced technology transfers and better enforce intellectual property rights.

Although US President Donald Trump said earlier in the week that an extension of the deadline was possible if a "real deal" was close, Larry Kudlow, director of the National Economic Council, said the White House had made no such decision.

Several sources informed about the meetings told Reuters there was little indication negotiators had made major progress on sticking points to pave the way for a potential meeting between Xi and Trump in coming weeks to hammer out a deal.

&nbsp;

Chinese President Xi Jinping said on Friday trade talks with the United States will continue in Washington next week and that he hopes the two sides will be able to reach a mutually beneficial deal in the upcoming negotiations, state media reported.

Chinese President Xi Jinping said on Friday trade talks with the United States will continue in Washington next week and that he hopes the two sides will be able to reach a mutually beneficial deal in the upcoming negotiations, state media reported. Xi said during a meeting with US Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin that talks in Beijing this week made progress and that China is willing to solve economic and trade disputes with the United States via cooperation, according to a report by Xinhua. Lighthizer and Mnuchin said during the meeting that they maintain hope although there is still much work to be done and that they are willing to work with China to reach a deal that is in line with the interests of both countries, according to Xinhua. The US delegation had a banquet with Chinese counterparts at a Beijing hotel on Thursday night, a person with knowledge of the meetings said. But neither country had offered details on how the two sides might de-escalate a tariff war that has roiled financial markets and disrupted manufacturing supply chains. US duties on $200 billion worth of imports from China are scheduled to rise to 25 per cent from 10 per cent if no deal is reached by March 1 to address US demands that China curb forced technology transfers and better enforce intellectual property rights. Although US President Donald Trump said earlier in the week that an extension of the deadline was possible if a "real deal" was close, Larry Kudlow, director of the National Economic Council, said the White House had made no such decision. Several sources informed about the meetings told Reuters there was little indication negotiators had made major progress on sticking points to pave the way for a potential meeting between Xi and Trump in coming weeks to hammer out a deal.

Trade talks with US to continue in Washington next week: Chinese President Xi Jinping

We stand united with India: World leaders extend solidarity over Pulwama terror attack

High level US trade negotiators in Beijing will meet with Chinese President Xi Jinping, a top White House official confirmed Thursday.

President Donald Trump's economic advisor Larry Kudlow told reporters in Washington that he'd just talked to the delegation, which includes US Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin.

"They're covering all the ground. They're hard at it. They are going to meet with President Xi, so that's a very good sign," he said.

Kudlow said "the vibe is good."

But he said there'd been "no decision" on extending a March 1 truce in tariff hikes between the world's two main economic powers.

Earlier, the South China Morning Post reported that the US officials would meet with Xi, bolstering hopes for a successful outcome in the talks.

Trump has said he is open to extending the March 1 deadline to give time for more negotiations and he says he will meet with Xi to finalise any deal.

The United States accuses China of a slew of unfair trading practices, including systemic theft of US intellectual property, and wants deep reforms to the system.

Beijing and Washington have already imposed duties on more than $360 billion in two-way trade, weighing on their manufacturing sectors and shaking global financial markets.

High level US trade negotiators in Beijing will meet with Chinese President Xi Jinping, a top White House official confirmed Thursday. President Donald Trump's economic advisor Larry Kudlow told reporters in Washington that he'd just talked to the delegation, which includes US Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin.

High level US trade negotiators in Beijing will meet with Chinese President Xi Jinping, a top White House official confirmed Thursday. President Donald Trump's economic advisor Larry Kudlow told reporters in Washington that he'd just talked to the delegation, which includes US Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin. "They're covering all the ground. They're hard at it. They are going to meet with President Xi, so that's a very good sign," he said. Kudlow said "the vibe is good." But he said there'd been "no decision" on extending a March 1 truce in tariff hikes between the world's two main economic powers. Earlier, the South China Morning Post reported that the US officials would meet with Xi, bolstering hopes for a successful outcome in the talks. Trump has said he is open to extending the March 1 deadline to give time for more negotiations and he says he will meet with Xi to finalise any deal. The United States accuses China of a slew of unfair trading practices, including systemic theft of US intellectual property, and wants deep reforms to the system. Beijing and Washington have already imposed duties on more than $360 billion in two-way trade, weighing on their manufacturing sectors and shaking global financial markets.

US trade negotiators to meet with Chinese President Xi Jinping: White House

The US businesses paid an additional $2.7 billion in tariffs in November 2018, according to data from a coalition of US business groups fighting <a href="http://www.wionews.com/world/clash-over-trump-tariffs-heats-up-with-barrage-of-wto-litigation-172364">President Donald Trump's trade tariffs</a>.

The group, which brands itself "Tariffs Hurt the Heartland" and includes the Americans for Free Trade coalition and Farmers for Free Trade, crunches tariff payment data nationally and by state.

The data is part of a monthly series called the Tariff Tracker, which the group releases in a tie-up with The Trade Partnership, a Washington-based international trade and economic consulting firm. The monthly import data, it said, is calculated using numbers from the US Census Bureau, and the monthly export data is compiled using numbers from the Census Bureau and the US Department of Agriculture.

The November numbers are the latest government ones available due to the recent US government shutdown.

The group's spokesman, former Republican congressman Charles Boustany, said the data shows Americans, not foreign competitors, are the big losers in the trade war.

"US businesses are being hit by a double whammy of historic tax increases in the form of tariffs and declining exports as farmers and manufacturers lose opportunities in the overseas markets they rely on," Boustany said.

The group also said retaliatory tariffs have severely impacted US exports. In November, US exports of products subject to retaliatory tariffs declined by $4.1 billion, or 37 per cent, from the previous year, it said.

Hun Quach, vice president of international trade at the Retail Industry Leaders Association, said raising tariffs on thousands of consumer products will cause massive disruption to retailers in an already uncertain environment.

US tariffs on $200 billion worth of imports from China are scheduled to rise to 25 per cent from 10 per cent if the two sides cannot reach a deal by a March 1 deadline. On Wednesday, US Treasury Secretary Steven Mnuchin told reporters in Beijing that talks between the two sides were going well.

White House press secretary Sarah Sanders told Fox News that Trump is weighing different possibilities on how to treat the March 1 deadline to reach a trade deal with China, adding that the final agreement depends on Trump and Chinese President Xi Jinping meeting in person.

The United States would escalate tariffs on Chinese goods if the deadline is missed, and likely prompt China to retaliate.

The US businesses paid an additional $2.7 billion in tariffs in November 2018, according to data from a coalition of US business groups fighting President Donald Trump's trade tariffs.

The US businesses paid an additional $2.7 billion in tariffs in November 2018, according to data from a coalition of US business groups fighting President Donald Trump's trade tariffs. The group, which brands itself "Tariffs Hurt the Heartland" and includes the Americans for Free Trade coalition and Farmers for Free Trade, crunches tariff payment data nationally and by state. The data is part of a monthly series called the Tariff Tracker, which the group releases in a tie-up with The Trade Partnership, a Washington-based international trade and economic consulting firm. The monthly import data, it said, is calculated using numbers from the US Census Bureau, and the monthly export data is compiled using numbers from the Census Bureau and the US Department of Agriculture. The November numbers are the latest government ones available due to the recent US government shutdown. The group's spokesman, former Republican congressman Charles Boustany, said the data shows Americans, not foreign competitors, are the big losers in the trade war. "US businesses are being hit by a double whammy of historic tax increases in the form of tariffs and declining exports as farmers and manufacturers lose opportunities in the overseas markets they rely on," Boustany said. The group also said retaliatory tariffs have severely impacted US exports. In November, US exports of products subject to retaliatory tariffs declined by $4.1 billion, or 37 per cent, from the previous year, it said. Hun Quach, vice president of international trade at the Retail Industry Leaders Association, said raising tariffs on thousands of consumer products will cause massive disruption to retailers in an already uncertain environment. US tariffs on $200 billion worth of imports from China are scheduled to rise to 25 per cent from 10 per cent if the two sides cannot reach a deal by a March 1 deadline. On Wednesday, US Treasury Secretary Steven Mnuchin told reporters in Beijing that talks between the two sides were going well. White House press secretary Sarah Sanders told Fox News that Trump is weighing different possibilities on how to treat the March 1 deadline to reach a trade deal with China, adding that the final agreement depends on Trump and Chinese President Xi Jinping meeting in person. The United States would escalate tariffs on Chinese goods if the deadline is missed, and likely prompt China to retaliate.

US group says Trump trade tariffs cost businesses $2.7 billion in November

US Treasury Secretary Steven Mnuchin said talks with China went well on Wednesday, as the world's two largest economies try to iron out an agreement to resolve their trade dispute.

"So far, so good," he said when asked by reporters on how the meetings in Beijing went. He did not say who he met.

Mnuchin said earlier he hoped for "productive" trade meetings as the two countries seek to end a festering dispute that has seen both sides level tariffs at one other.

US tariffs on $200 billion worth of imports from China are scheduled to rise to 25 per cent from 10 per cent if the two sides cannot reach a deal by a March 1 deadline, increasing pain and costs in sectors from consumer electronics to agriculture.

Mnuchin, asked by reporters as he left his Beijing hotel what his hopes were for the visit, said "productive meetings". He did not elaborate.

Mnuchin, along with US Trade Representative Robert Lighthizer, arrived in the Chinese capital on Tuesday.

US President Donald Trump said on Tuesday that he could let the deadline for a trade agreement "slide for a little while," but that he would prefer not to and expects to meet with Chinese President Xi Jinping to close the deal at some point.

Trump's advisers have previously described March 1 as a "hard deadline," but Trump told reporters that a delay was now possible.

He said in December that the 90-day truce could be extended, but that he could revert to tariffs if differences could not be resolved.

A growing number of US businesses and lawmakers have expressed hopes for a delay in the tariff increase while the two sides tackle the difficult US demands for major structural policy changes by China aimed at ending the forced transfer of American trade secrets, curbing Beijing's industrial subsidies and enforcing intellectual property rights.

Trump said last week he did not plan to meet with Xi before the March 1 deadline.

Mnuchin and Lighthizer are scheduled to hold talks on Thursday and Friday with Vice Premier Liu He, the top economic adviser to Xi.

The latest round of talks in Beijing kicked off on Monday with discussions among deputy-level officials to try to work out technical details, including a mechanism for enforcing any trade agreement.

China's Foreign Ministry referred questions on the talks to the Ministry of Commerce, which did not respond to a request for comment.

A round of talks at the end of January ended with some progress reported, but no deal, and US declarations that much more work was needed.

Dodge a bullet

James Green, a senior research fellow at Georgetown University, said he believed China was looking to secure a Xi-Trump meeting in the hope that it would make a near-term deal on tariffs far more likely.

"From their point of view, they would have dodged a bullet," Green, who was USTR's top official at the US embassy in Beijing until mid-2018, told Reuters by telephone.

But there is growing bipartisan concern in the United States about increasing state control of China's economy, military activity in the South China Sea, and security issues around its technology companies.

Even if the two sides could come to terms on tariffs, that might not mean an end to trade friction, Green added.

"I think that whatever we might get for an agreement, it will be a pause, because the US government is still going to move forward in the telecoms sector, on law enforcement and legal action, and on sanctions-related issues."

US Secretary of State Mike Pompeo cautioned allies on Monday against deploying equipment from Chinese telecoms giant Huawei Technologies on their soil, saying it would make it more difficult for Washington to "partner alongside them".

The United States and its Western allies believe Huawei's apparatus could be used for espionage, and see its expansion into central Europe as a way to gain a foothold in the European Union market.

Both the Chinese government and Huawei have dismissed these concerns.

US Treasury Secretary Steven Mnuchin said talks with China went well on Wednesday, as the world's two largest economies try to iron out an agreement to resolve their trade dispute.

US Treasury Secretary Steven Mnuchin said talks with China went well on Wednesday, as the world's two largest economies try to iron out an agreement to resolve their trade dispute. "So far, so good," he said when asked by reporters on how the meetings in Beijing went. He did not say who he met. Mnuchin said earlier he hoped for "productive" trade meetings as the two countries seek to end a festering dispute that has seen both sides level tariffs at one other. US tariffs on $200 billion worth of imports from China are scheduled to rise to 25 per cent from 10 per cent if the two sides cannot reach a deal by a March 1 deadline, increasing pain and costs in sectors from consumer electronics to agriculture. Mnuchin, asked by reporters as he left his Beijing hotel what his hopes were for the visit, said "productive meetings". He did not elaborate. Mnuchin, along with US Trade Representative Robert Lighthizer, arrived in the Chinese capital on Tuesday. US President Donald Trump said on Tuesday that he could let the deadline for a trade agreement "slide for a little while," but that he would prefer not to and expects to meet with Chinese President Xi Jinping to close the deal at some point. Trump's advisers have previously described March 1 as a "hard deadline," but Trump told reporters that a delay was now possible. He said in December that the 90-day truce could be extended, but that he could revert to tariffs if differences could not be resolved. A growing number of US businesses and lawmakers have expressed hopes for a delay in the tariff increase while the two sides tackle the difficult US demands for major structural policy changes by China aimed at ending the forced transfer of American trade secrets, curbing Beijing's industrial subsidies and enforcing intellectual property rights. Trump said last week he did not plan to meet with Xi before the March 1 deadline. Mnuchin and Lighthizer are scheduled to hold talks on Thursday and Friday with Vice Premier Liu He, the top economic adviser to Xi. The latest round of talks in Beijing kicked off on Monday with discussions among deputy-level officials to try to work out technical details, including a mechanism for enforcing any trade agreement. China's Foreign Ministry referred questions on the talks to the Ministry of Commerce, which did not respond to a request for comment. A round of talks at the end of January ended with some progress reported, but no deal, and US declarations that much more work was needed. Dodge a bullet James Green, a senior research fellow at Georgetown University, said he believed China was looking to secure a Xi-Trump meeting in the hope that it would make a near-term deal on tariffs far more likely. "From their point of view, they would have dodged a bullet," Green, who was USTR's top official at the US embassy in Beijing until mid-2018, told Reuters by telephone. But there is growing bipartisan concern in the United States about increasing state control of China's economy, military activity in the South China Sea, and security issues around its technology companies. Even if the two sides could come to terms on tariffs, that might not mean an end to trade friction, Green added. "I think that whatever we might get for an agreement, it will be a pause, because the US government is still going to move forward in the telecoms sector, on law enforcement and legal action, and on sanctions-related issues." US Secretary of State Mike Pompeo cautioned allies on Monday against deploying equipment from Chinese telecoms giant Huawei Technologies on their soil, saying it would make it more difficult for Washington to "partner alongside them". The United States and its Western allies believe Huawei's apparatus could be used for espionage, and see its expansion into central Europe as a way to gain a foothold in the European Union market. Both the Chinese government and Huawei have dismissed these concerns.

'So far, so good,' Steven Mnuchin says of trade talks in China

New Delhi is in discussion with Beijing for an early announcement of Chinese import quotas for sugar and rice for 2019. The move will help Indian exporters plan their exports well in time for the current year.

India is also engaging with China for signing protocols for the export of Indian soybean meals, cakes and pomegranates to China in the near future, discussions for the same are advancing.&nbsp;

India's Department of Commerce has signed three protocols with China to ease the environment for Indian businesses in the world's second-largest economy.

In June 2018, a protocol on the export of Indian rice to China was signed during PM Modi's visit for the Shanghai Cooperation Organization (SCO) Summit in Qingdao. The agreement paved way for the export of Indian rice to China.

In November 2018, India and China signed a protocol for the export of Indian fishmeal/fish oil to China.

Last month, on January 21 and 22, both the countries renewed and signed the protocol on the export of Indian tobacco, making way for the exports of Indian tobacco to China.&nbsp;

The growth of Indian exports to China has been driven by marine products, organic chemicals, plastics, petroleum products, grapes and rice. Indian exports to China between April-December 2018 stood at $12.7 billion.

China and India have been keen on engaging bilaterally especially on the trade front. Indian Prime Minister Narendra Modi and Chinese President Xi Jinping met four times last year. This year, the Chinese President will be visiting India for the second informal summit between the two countries. <a href="http://www.wionews.com/india-news/wuhan-was-a-milestone-pm-modi-president-xi-have-personal-connect-sushma-swaraj-185698">The first informal summit took place in Wuhan</a> in April 2018.

New Delhi is in discussion with Beijing for an early announcement of Chinese import quotas for sugar and rice for 2019. The move will help Indian exporters plan their exports well in time for the current year.

New Delhi is in discussion with Beijing for an early announcement of Chinese import quotas for sugar and rice for 2019. The move will help Indian exporters plan their exports well in time for the current year. India is also engaging with China for signing protocols for the export of Indian soybean meals, cakes and pomegranates to China in the near future, discussions for the same are advancing. India's Department of Commerce has signed three protocols with China to ease the environment for Indian businesses in the world's second-largest economy. In June 2018, a protocol on the export of Indian rice to China was signed during PM Modi's visit for the Shanghai Cooperation Organization (SCO) Summit in Qingdao. The agreement paved way for the export of Indian rice to China. In November 2018, India and China signed a protocol for the export of Indian fishmeal/fish oil to China. Last month, on January 21 and 22, both the countries renewed and signed the protocol on the export of Indian tobacco, making way for the exports of Indian tobacco to China. The growth of Indian exports to China has been driven by marine products, organic chemicals, plastics, petroleum products, grapes and rice. Indian exports to China between April-December 2018 stood at $12.7 billion. China and India have been keen on engaging bilaterally especially on the trade front. Indian Prime Minister Narendra Modi and Chinese President Xi Jinping met four times last year. This year, the Chinese President will be visiting India for the second informal summit between the two countries. The first informal summit took place in Wuhan in April 2018.

India in talks with China for early announcement of Chinese import quotas

China plans to build four nuclear-powered aircraft carriers by 2035 and develop new carrier-based fighter jets as Beijing tries to boost its naval prowess and catch up with the powerful US Navy, a media report Wednesday quoted Chinese military experts as saying.&nbsp;

China currently has one aircraft carrier in service the Liaoning, commissioned in 2012 and the Type 001A, the first carrier built in the country, which is still being tested.

Chinese President Xi Jinping, also the head of the People's Liberation Army (PLA) has ordered the military to modernise by 2035 and become a top-ranked fighting force by 2050.&nbsp;

Four of at least six aircraft battle groups China plans to have in the water by 2035 will be nuclear-powered, as the Asian giant tries to equal the US in naval strength, the South China Morning Post reported.

The experts said that after decades of trying to close the gap, the PLA Navy's hardware might by then be closer to matching the world's leading superpower in aircraft carrier technology but it would still lag in real combat experience.

All of China's new carriers were expected to be equipped with electromagnetic catapults similar to those used by the United States, the experts said.&nbsp;

The US' electromagnetic aircraft launch system, known as EMALS, can launch more aircraft more rapidly than the older diesel systems.

"China's nuclear-powered aircraft carriers with [EMALS-like systems] are expected to join the navy by 2035, bringing the total number of carriers to at least six although only four will work at the front line," Wang Yunfei, a naval expert and retired PLA destroyer naval officer, said.

"The country needs to keep developing until it is at the same level as the United States," Wang was quoted as saying by the Hong Kong-based newspaper.

The US seeks to keep its place as the dominant naval power across the Indo-Pacific, where Washington and its allies believe Beijing is trying to rewrite international rules and military alliances in place since World War II.

But Beijing is keen to expand its aircraft carrier battle groups to fulfil its global naval ambitions and defend its growing overseas interests.&nbsp;

Construction of its next conventional diesel-powered aircraft carrier, the Type 002 the first equipped with the electromagnetic launchers began last year.

Wang said the budget for the carrier projects would not be cut despite an economic slowdown and a trade war with the US.

"Even if the economic downturn has an effect, we can adjust proportions in total military expenditure to make sure naval modernisation keeps going," he said.&nbsp;

Song Zhongping, a television military commentator in Hong Kong, said China's fleet of aircraft carriers would expand to reflect its global standing.

With the PLA planning to have four nuclear-powered carrier battle groups on the front line by 2035, the Type 001A and its next-generation carrier Type 002 would become temporary battleships, Song said.

Both Wang and Song said the Liaoning would be replaced by the Type 001A by 2035, by which time the Liaoning would be obsolete. The Liaoning was refitted from a half-built Soviet hull bought from Ukraine in 1998 and is used to train carrier crews.

The PLA Navy will develop one of its fighter jets for use on its aircraft carriers, with debate ongoing over whether that will be the FC-31 or J-20. China has just one type of carrier-based fighter jet, the J-15, whereas the US has two.

Wang said Chinese engineers were developing a next-generation carrier-based fighter, describing it as a variant of the FC-31 stealth fighter, whose fighting capability may be "a little bit behind the US' F-35C".

Song said China's overall strength would remain limited by a lack of combat experience.

"China's aircraft carrier technology and its carrier-based fighter jets will be developed to match the same generation of their American counterparts, but hardware build-up is only part of the picture," he said.&nbsp;

China plans to build four nuclear-powered aircraft carriers by 2035 and develop new carrier-based fighter jets as Beijing tries to boost its naval prowess and catch up with the powerful US Navy, a media report Wednesday quoted Chinese military experts as saying.

China plans to build four nuclear-powered aircraft carriers by 2035 and develop new carrier-based fighter jets as Beijing tries to boost its naval prowess and catch up with the powerful US Navy, a media report Wednesday quoted Chinese military experts as saying. China currently has one aircraft carrier in service the Liaoning, commissioned in 2012 and the Type 001A, the first carrier built in the country, which is still being tested. Chinese President Xi Jinping, also the head of the People's Liberation Army (PLA) has ordered the military to modernise by 2035 and become a top-ranked fighting force by 2050. Four of at least six aircraft battle groups China plans to have in the water by 2035 will be nuclear-powered, as the Asian giant tries to equal the US in naval strength, the South China Morning Post reported. The experts said that after decades of trying to close the gap, the PLA Navy's hardware might by then be closer to matching the world's leading superpower in aircraft carrier technology but it would still lag in real combat experience. All of China's new carriers were expected to be equipped with electromagnetic catapults similar to those used by the United States, the experts said. The US' electromagnetic aircraft launch system, known as EMALS, can launch more aircraft more rapidly than the older diesel systems. "China's nuclear-powered aircraft carriers with [EMALS-like systems] are expected to join the navy by 2035, bringing the total number of carriers to at least six although only four will work at the front line," Wang Yunfei, a naval expert and retired PLA destroyer naval officer, said. "The country needs to keep developing until it is at the same level as the United States," Wang was quoted as saying by the Hong Kong-based newspaper. The US seeks to keep its place as the dominant naval power across the Indo-Pacific, where Washington and its allies believe Beijing is trying to rewrite international rules and military alliances in place since World War II. But Beijing is keen to expand its aircraft carrier battle groups to fulfil its global naval ambitions and defend its growing overseas interests. Construction of its next conventional diesel-powered aircraft carrier, the Type 002 the first equipped with the electromagnetic launchers began last year. Wang said the budget for the carrier projects would not be cut despite an economic slowdown and a trade war with the US. "Even if the economic downturn has an effect, we can adjust proportions in total military expenditure to make sure naval modernisation keeps going," he said. Song Zhongping, a television military commentator in Hong Kong, said China's fleet of aircraft carriers would expand to reflect its global standing. With the PLA planning to have four nuclear-powered carrier battle groups on the front line by 2035, the Type 001A and its next-generation carrier Type 002 would become temporary battleships, Song said. Both Wang and Song said the Liaoning would be replaced by the Type 001A by 2035, by which time the Liaoning would be obsolete. The Liaoning was refitted from a half-built Soviet hull bought from Ukraine in 1998 and is used to train carrier crews. The PLA Navy will develop one of its fighter jets for use on its aircraft carriers, with debate ongoing over whether that will be the FC-31 or J-20. China has just one type of carrier-based fighter jet, the J-15, whereas the US has two. Wang said Chinese engineers were developing a next-generation carrier-based fighter, describing it as a variant of the FC-31 stealth fighter, whose fighting capability may be "a little bit behind the US' F-35C". Song said China's overall strength would remain limited by a lack of combat experience. "China's aircraft carrier technology and its carrier-based fighter jets will be developed to match the same generation of their American counterparts, but hardware build-up is only part of the picture," he said.

China to build four nuclear aircraft carriers to catch up with US Navy: Report

China will provide $2.5 billion in loans to Pakistan to boost the foreign exchange reserves of its "all-weather ally", a media report said Saturday.

Pakistan is nearly broke with the drying up of foreign cash reserves and mounting external debt.

The country's $8.12 billion reserves, which are below the minimum level that the International Monetary Fund (IMF) and the World Bank (WB) prescribe, are sufficient to cover only seven weeks of imports.

Due to this, the WB and the Asian Development Bank are not providing loans for budget financing.

"Beijing will place the $2.5 billion in deposits with the central bank," a top Finance Ministry official here told The Express Tribune.

With the anticipated $2.5 billion deposits, China's contribution in this fiscal year alone would surge to $4.5 billion, the paper said.

Pakistan has struggled to maintain reserves that are not currently sufficient to provide cover to even two months of imports despite receiving $4 billion in loans from two Middle-Eastern countries.

In July, China deposited $2 billion with the State Bank of Pakistan. In the past five years, China has emerged as Pakistan's single largest saviour in times of economic crisis.

The money is coming as part of the government's strategy to secure breathing space till the time its macroeconomic stabilisation measures take effect.

After coming into power, Prime Minister Imran Khan visited China, Saudi Arabia and the UAE to arrange emergency loans to avoid a looming default.

Pakistan has secured $14.5 billion worth of commitments from these three countries that have helped largely bridged the external financing gap of the ongoing fiscal year.

Before coming into power, Khan was critical of taking loans to run the country but due to an extremely low level of foreign currency reserves and financing requirements standing above $25 billion, he sought loans from other countries.

Saudi Arabia will provide a $ 6 billion financial assistance package, which included $3 billion in short term loans at an interest rate of 3.18 per cent. Riyadh has already disbursed $3 billion.

The State Bank of Pakistan (SBP) Governor Tariq Bajwa on Thursday said the modalities for $3 billion oil on deferred payments were finalised this week and an agreement would be signed on February 16 during the visit of Saudi Crown Prince Mohammad bin Salman.

The UAE has agreed to provide $3 billion in loans at an interest rate of around 3 per cent and has already disbursed $1 billion. A $ 3.2 billion worth of oil facility on deferred payment is being awaited.

Pakistan has arranged these deposits for a term of one to three years but these are likely to be rolled over, in case Islamabad faces difficulties to return them, said the sources in the Finance Ministry.

But despite $4 billion inflows from Riyadh and the UAE during the past two months, the gross official foreign currency reserves stayed at only $8.12 billion as of December 25, according to the SBP governor.

However, the SBP governor on Thursday said despite these measures, the current account deficit remained high, standing at $8 billion in six months.

The overall foreign loans disbursements also remained low during the first half of the fiscal year, standing at only $2.2 billion from July through December.

The government on Thursday also launched Diaspora bonds at interest rates of 6.25 per cent for three years and 6.75 per cent for five years to arrange funds for the balance of payments support.

Finance Minister Asad Umar said he also gave a go ahead to launch two more financial instruments to meet external sector financing requirements. One instrument, likely to be Sukuk bonds (Islamic bonds), could be launched before June, according to the Finance Ministry officials.

The sources said the government is planning to launch foreign currency Sukuk to tap the Islamic markets. There is also a plan to launch $3 billion Euro bonds during the current fiscal year.

Asad Umar had postponed it in November after the government arranged loans from the three countries.

The Pakistan Tehreek-e-Insaf (PTI) government blames expansionary fiscal policies of the last Pakistan Muslim League-Nawaz (PML-N) government for the overvalued exchange rate and the current external sector problems.

Since July, the rupee has been devalued by more than 15 per cent but exports could not pick.

The sources said the Finance Ministry and the central bank are in the process of implementing a flexible exchange rate regime while moving away from the managed exchange rate policy.

China will provide $2.5 billion in loans to Pakistan to boost the foreign exchange reserves of its "all-weather ally", a media report said Saturday. Pakistan is nearly broke with the drying up of foreign cash reserves and mounting external debt.

China will provide $2.5 billion in loans to Pakistan to boost the foreign exchange reserves of its "all-weather ally", a media report said Saturday. Pakistan is nearly broke with the drying up of foreign cash reserves and mounting external debt. The country's $8.12 billion reserves, which are below the minimum level that the International Monetary Fund (IMF) and the World Bank (WB) prescribe, are sufficient to cover only seven weeks of imports. Due to this, the WB and the Asian Development Bank are not providing loans for budget financing. "Beijing will place the $2.5 billion in deposits with the central bank," a top Finance Ministry official here told The Express Tribune. With the anticipated $2.5 billion deposits, China's contribution in this fiscal year alone would surge to $4.5 billion, the paper said. Pakistan has struggled to maintain reserves that are not currently sufficient to provide cover to even two months of imports despite receiving $4 billion in loans from two Middle-Eastern countries. In July, China deposited $2 billion with the State Bank of Pakistan. In the past five years, China has emerged as Pakistan's single largest saviour in times of economic crisis. The money is coming as part of the government's strategy to secure breathing space till the time its macroeconomic stabilisation measures take effect. After coming into power, Prime Minister Imran Khan visited China, Saudi Arabia and the UAE to arrange emergency loans to avoid a looming default. Pakistan has secured $14.5 billion worth of commitments from these three countries that have helped largely bridged the external financing gap of the ongoing fiscal year. Before coming into power, Khan was critical of taking loans to run the country but due to an extremely low level of foreign currency reserves and financing requirements standing above $25 billion, he sought loans from other countries. Saudi Arabia will provide a $ 6 billion financial assistance package, which included $3 billion in short term loans at an interest rate of 3.18 per cent. Riyadh has already disbursed $3 billion. The State Bank of Pakistan (SBP) Governor Tariq Bajwa on Thursday said the modalities for $3 billion oil on deferred payments were finalised this week and an agreement would be signed on February 16 during the visit of Saudi Crown Prince Mohammad bin Salman. The UAE has agreed to provide $3 billion in loans at an interest rate of around 3 per cent and has already disbursed $1 billion. A $ 3.2 billion worth of oil facility on deferred payment is being awaited. Pakistan has arranged these deposits for a term of one to three years but these are likely to be rolled over, in case Islamabad faces difficulties to return them, said the sources in the Finance Ministry. But despite $4 billion inflows from Riyadh and the UAE during the past two months, the gross official foreign currency reserves stayed at only $8.12 billion as of December 25, according to the SBP governor. However, the SBP governor on Thursday said despite these measures, the current account deficit remained high, standing at $8 billion in six months. The overall foreign loans disbursements also remained low during the first half of the fiscal year, standing at only $2.2 billion from July through December. The government on Thursday also launched Diaspora bonds at interest rates of 6.25 per cent for three years and 6.75 per cent for five years to arrange funds for the balance of payments support. Finance Minister Asad Umar said he also gave a go ahead to launch two more financial instruments to meet external sector financing requirements. One instrument, likely to be Sukuk bonds (Islamic bonds), could be launched before June, according to the Finance Ministry officials. The sources said the government is planning to launch foreign currency Sukuk to tap the Islamic markets. There is also a plan to launch $3 billion Euro bonds during the current fiscal year. Asad Umar had postponed it in November after the government arranged loans from the three countries. The Pakistan Tehreek-e-Insaf (PTI) government blames expansionary fiscal policies of the last Pakistan Muslim League-Nawaz (PML-N) government for the overvalued exchange rate and the current external sector problems. Since July, the rupee has been devalued by more than 15 per cent but exports could not pick. The sources said the Finance Ministry and the central bank are in the process of implementing a flexible exchange rate regime while moving away from the managed exchange rate policy.

China to provide $2.5 billion loan to Pakistan to boost foreign cash reserves

US President Donald Trump said on Thursday he will meet with Chinese President Xi Jinping soon to try to seal a comprehensive trade deal as Trump and his top trade negotiator both cited substantial progress in two days of high-level talks.

Trump, speaking at the White House during a meeting with Chinese Vice Premier Liu He, said he was optimistic that the world's two largest economies could reach "the biggest deal ever made."

No specific plans for a meeting with Xi were announced, but Trump said there could be more than one meeting. The US Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin were invited to bring the US negotiating team to Beijing around mid-February, with dates still pending.

At the end of two days of high-level talks next door to the White House, Liu told Trump that China would make a new, immediate commitment to increase soybean purchases. An administration official later clarified the amount as a total of 5 million tonnes, effectively doubling the amount bought by China since resuming limited purchases in December.

The US soybean sales to China, which totalled 31.7 million tonnes in 2017, were largely cut off in the second half of last year by China's retaliatory tariffs and the announcement drew a positive reaction from Trump, who said it would "make our farmers very happy."

While China has offered increased purchases of US farm, energy and other goods to try to resolve the trade disputes, negotiators dug into thornier issues, including the US demands that China take steps to protect American intellectual property and end policies that Washington says force US companies to turn over technology to Chinese firms.

The US Trade Representative Robert Lighthizer said there was "substantial progress" on these issues, including verification mechanisms to "enforce" China's follow-through on any reform commitments it makes.

"At this point, it's impossible for me to predict success. But we're in a place that if things work out, it could happen," Lighthizer said at the Oval Office meeting.

Later, he told reporters that the US objective was to make China's commitments "more specific, all-encompassing and enforceable" with a mechanism for taking action if China fails to follow through, but declined to provide specific issues.

Reuters previously reported that such an enforcement mechanism would involve a snap-back of US tariffs.

Asked whether the two sides discussed lifting US tariffs on Chinese goods, Lighthizer said tariffs were not part of the talks.

A person familiar with the discussions said a broad range of concerns about access to Chinese agricultural markets were raised in the talks but little progress was made.

The White House said in a statement that a scheduled March 2 tariff increase on $200 billion of Chinese goods to 25 per cent from 10 per cent was a "hard deadline" if no deal was reached by March 1.

Trump said he did not think he would need to extend the deadline. "I think when President Xi and I meet, every point will be agreed to," Trump added.

But Trump has vetoed multiple proposed trade deals with China, choosing to push ahead with tariffs on Chinese goods to gain leverage. Earlier, Trump said on Twitter he was looking for China to open its markets "not only to Financial Services, which they are now doing but also to our Manufacturing, Farmers and other US businesses and industries. Without this, a deal would be unacceptable!"

The US complaints on technology transfers, and intellectual property protections, along with accusations of Chinese cyber theft of American trade secrets and a systematic campaign to acquire US technology firms, were used by Trump's administration to justify punitive tariffs on $250 billion worth of Chinese imports.

China has retaliated with tariffs of its own, but has suspended some and is allowing some purchases of US soybeans during the talks.

Chinese officials have said their policies do not coerce technology transfers.

The US tariffs on Chinese goods are just one front in Trump's efforts to upend the global trading order with his "America First" strategy. He has also imposed global tariffs on imported steel and aluminium, washing machines and solar panels and has threatened to raise tariffs on imported cars unless Japan and the European Union offer trade concessions.

US President Donald Trump said on Thursday he will meet with Chinese President Xi Jinping soon to try to seal a comprehensive trade deal as Trump and his top trade negotiator both cited substantial progress in two days of high-level talks.

US President Donald Trump said on Thursday he will meet with Chinese President Xi Jinping soon to try to seal a comprehensive trade deal as Trump and his top trade negotiator both cited substantial progress in two days of high-level talks. Trump, speaking at the White House during a meeting with Chinese Vice Premier Liu He, said he was optimistic that the world's two largest economies could reach "the biggest deal ever made." No specific plans for a meeting with Xi were announced, but Trump said there could be more than one meeting. The US Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin were invited to bring the US negotiating team to Beijing around mid-February, with dates still pending. At the end of two days of high-level talks next door to the White House, Liu told Trump that China would make a new, immediate commitment to increase soybean purchases. An administration official later clarified the amount as a total of 5 million tonnes, effectively doubling the amount bought by China since resuming limited purchases in December. The US soybean sales to China, which totalled 31.7 million tonnes in 2017, were largely cut off in the second half of last year by China's retaliatory tariffs and the announcement drew a positive reaction from Trump, who said it would "make our farmers very happy." While China has offered increased purchases of US farm, energy and other goods to try to resolve the trade disputes, negotiators dug into thornier issues, including the US demands that China take steps to protect American intellectual property and end policies that Washington says force US companies to turn over technology to Chinese firms. The US Trade Representative Robert Lighthizer said there was "substantial progress" on these issues, including verification mechanisms to "enforce" China's follow-through on any reform commitments it makes. "At this point, it's impossible for me to predict success. But we're in a place that if things work out, it could happen," Lighthizer said at the Oval Office meeting. Later, he told reporters that the US objective was to make China's commitments "more specific, all-encompassing and enforceable" with a mechanism for taking action if China fails to follow through, but declined to provide specific issues. Reuters previously reported that such an enforcement mechanism would involve a snap-back of US tariffs. Asked whether the two sides discussed lifting US tariffs on Chinese goods, Lighthizer said tariffs were not part of the talks. A person familiar with the discussions said a broad range of concerns about access to Chinese agricultural markets were raised in the talks but little progress was made. The White House said in a statement that a scheduled March 2 tariff increase on $200 billion of Chinese goods to 25 per cent from 10 per cent was a "hard deadline" if no deal was reached by March 1. Trump said he did not think he would need to extend the deadline. "I think when President Xi and I meet, every point will be agreed to," Trump added. But Trump has vetoed multiple proposed trade deals with China, choosing to push ahead with tariffs on Chinese goods to gain leverage. Earlier, Trump said on Twitter he was looking for China to open its markets "not only to Financial Services, which they are now doing but also to our Manufacturing, Farmers and other US businesses and industries. Without this, a deal would be unacceptable!" The US complaints on technology transfers, and intellectual property protections, along with accusations of Chinese cyber theft of American trade secrets and a systematic campaign to acquire US technology firms, were used by Trump's administration to justify punitive tariffs on $250 billion worth of Chinese imports. China has retaliated with tariffs of its own, but has suspended some and is allowing some purchases of US soybeans during the talks. Chinese officials have said their policies do not coerce technology transfers. The US tariffs on Chinese goods are just one front in Trump's efforts to upend the global trading order with his "America First" strategy. He has also imposed global tariffs on imported steel and aluminium, washing machines and solar panels and has threatened to raise tariffs on imported cars unless Japan and the European Union offer trade concessions.

Trump to meet with China's Xi soon; says 'optimistic to reach biggest trade deal ever'

China has dramatically reduced its trade with Iran in line with US sanctions, raising questions whether Iran will remain committed to an international agreement that puts severe limits on its nuclear endeavours.

Reduced Chinese trade also suggests that Iran is likely to face increased obstacles as it seeks to blunt the impact of the harsh US sanctions imposed last year in a bid to force the Islamic republic to change its regional and defence policy.

China’s apparent willingness to accommodate the sanctions is remarkable given Beijing’s declared efforts to salvage the 2015 international agreement that curbed Iran’s nuclear program as well as its escalating trade and technology dispute with the United States.

Bourse &amp; Bazaar, a self-described media and business diplomacy company operated by Esfandyar Batmanghelidj, the founder of the Europe-Iran Forum, disclosed China’s reduced trade on almost the same day that the US Justice Department filed criminal charges against Chinese telecommunications giant Huawei and its chief financial officer Meng Wanzhou.

The Justice Department asserts that the company and Meng violated Iran sanctions in addition to stealing US robotic technology.

Based on a review of trade data from China’s General Customs Administration, Bourse &amp; Bazaar concluded that Chinese trade with Iran had dropped by 70 per cent in the first two months after the re-imposition of US sanctions.

In addition, China’s Bank of Kunlun, the vehicle China used in the past for business with Iran because it had no exposure to the United States and as a result was not vulnerable to US sanctions, said in December that it would restrict its business with Iran to humanitarian trade, effectively excluding all other transactions.

China replaced Europe as Iran’s main trading partner in 2012 at a time that Iran was under United Nations sanctions. Those sanctions were lifted with the conclusion of the nuclear agreement in 2015.

Bourse &amp; Bazaar said Chinese exports to Iran had dropped to $400 million in the period from October to December of last year compared to $1.2 billion in the same period in 2017.

“China may be abandoning the policy of sustaining trade with Iran in direct contravention of US sanctions, introducing both economic risks in regards to Iran’s continued industrialization and political risks in regards to Iran’s continued compliance with the JCPOA,” the report said, referring to the nuclear accord by the initials of its official designation, the Joint Comprehensive Plan of Action.

The report said that Iran relies on China for the import of badly needed industrial machinery and technology funded by its oil exports.

Iranian oil exports to China rebounded after the US gave China and seven other countries a six-month waiver but that did not revive Chinese exports, the report said.

Chinese compliance with US sanctions, at least in terms of trade could put to the test Iran’s declared commitment to the nuclear agreement in the wake of US President Donald J Trump’s withdrawal from the accord last May.

Iran has said its continued commitment would be determined by whether the accord remained in its interest, determined primarily by the ability and willingness of the other signatories to the agreement -- China, the European Union, Britain, France, Germany and Russia – to help it blunt the impact of the US sanctions.

The signatories have so far maintained that Iran has complied with the agreement even if the European Union recently sanctioned Iran’s intelligence ministry for allegedly targeting Iranian dissidents in the Netherlands, Denmark and France.

Germany subsequently banned Mahan Air, an Iranian airline sanctioned by the United States, from landing at its airports, asserting that Mahan Air had ferried fighters and weapons to Iranian-backed forces in Syria. Mahan Air operated four flights a week to Duesseldorf and Munich.

The signatories’ position appeared to be supported by a Worldwide Threat Assessment by the US intelligence community that in effect concluded that the Trump administration’s Iran policy had so far failed.

"We continue to assess that Iran is not currently undertaking the key nuclear weapons-development activities we judge necessary to produce a nuclear device,” Director of National Intelligence Daniel Coats told the Senate Intelligence Committee in a hearing on the 42-page report.

The report warned that US policy could empower Iranian hard-liners; had sparked at best only sporadic uncoordinated anti-government protests in the Islamic Republic; had failed to persuade Iran to change its regional and defense policy; and could prompt it to pursue more aggressive policies to counter perceived US, Saudi and Israeli attempts to destabilise the regime in Tehran.

Disclosure of Chinese willingness to comply to some degree with US sanctions as well as the European sanctions come in advance of a conference in Warsaw next month convened by the United States to discuss peace and security in the Middle East.

The conference, to which Iran has not been invited, is widely seen as a US effort to bolster support for its Iran policy. Russia and EU foreign policy chief Federica Mogherini have said that they would not be participating in the meeting.

An article in China’s state-owned Global Times discussing the Warsaw meeting under the headline, Poland is getting closer to the US, but should China be worried? Noted that Poland had arrested on espionage charges a former Chinese employee of Huawei and was considering banning the company.

The European Union, in a bid to blunt the impact of the US sanctions, is believed to be on the verge of launching a financial clearinghouse known as the Special Purpose Vehicle (SPV) that would allow European companies to continue to trade with Iran in accordance with EU law and could be open to other partners such as China.

The vehicle is being conceived as an alternative to the Brussels-based Society for the Worldwide Interbank Financial Telecommunication (SWIFT) international financial messaging system used by more than 10,000 banks worldwide.

The US has blacklisted tens of Iranian banks and pressured SWIFT into agreeing to steer clear of handling transactions of those banks.

The Bourse &amp; Bazaar report warned that continued Chinese refusal to buck US sanctions and ensure Iran has the necessary industrial machinery and technology to keep its economy running would fuel unemployment in the country that could be “devastating and destabilising.”

The report said Iran was more likely to withdraw from the nuclear agreement in a move that could significantly raise tensions in the Middle East as a result of Chinese rather than European compliance with US sanctions.

“If the nuclear deal collapses due to extraordinary economic pressures in Iran, China may be to blame,” the report said. 
 
(Disclaimer: The opinions expressed above are the personal views of the author and do not reflect the views of ZMCL)

China has dramatically reduced its trade with Iran in line with US sanctions, raising questions whether Iran will remain committed to an international agreement that puts severe limits on its nuclear endeavours.

China has dramatically reduced its trade with Iran in line with US sanctions, raising questions whether Iran will remain committed to an international agreement that puts severe limits on its nuclear endeavours. Reduced Chinese trade also suggests that Iran is likely to face increased obstacles as it seeks to blunt the impact of the harsh US sanctions imposed last year in a bid to force the Islamic republic to change its regional and defence policy. China’s apparent willingness to accommodate the sanctions is remarkable given Beijing’s declared efforts to salvage the 2015 international agreement that curbed Iran’s nuclear program as well as its escalating trade and technology dispute with the United States. Bourse & Bazaar, a self-described media and business diplomacy company operated by Esfandyar Batmanghelidj, the founder of the Europe-Iran Forum, disclosed China’s reduced trade on almost the same day that the US Justice Department filed criminal charges against Chinese telecommunications giant Huawei and its chief financial officer Meng Wanzhou. The Justice Department asserts that the company and Meng violated Iran sanctions in addition to stealing US robotic technology. Based on a review of trade data from China’s General Customs Administration, Bourse & Bazaar concluded that Chinese trade with Iran had dropped by 70 per cent in the first two months after the re-imposition of US sanctions. In addition, China’s Bank of Kunlun, the vehicle China used in the past for business with Iran because it had no exposure to the United States and as a result was not vulnerable to US sanctions, said in December that it would restrict its business with Iran to humanitarian trade, effectively excluding all other transactions. China replaced Europe as Iran’s main trading partner in 2012 at a time that Iran was under United Nations sanctions. Those sanctions were lifted with the conclusion of the nuclear agreement in 2015. Bourse & Bazaar said Chinese exports to Iran had dropped to $400 million in the period from October to December of last year compared to $1.2 billion in the same period in 2017. “China may be abandoning the policy of sustaining trade with Iran in direct contravention of US sanctions, introducing both economic risks in regards to Iran’s continued industrialization and political risks in regards to Iran’s continued compliance with the JCPOA,” the report said, referring to the nuclear accord by the initials of its official designation, the Joint Comprehensive Plan of Action. The report said that Iran relies on China for the import of badly needed industrial machinery and technology funded by its oil exports. Iranian oil exports to China rebounded after the US gave China and seven other countries a six-month waiver but that did not revive Chinese exports, the report said. Chinese compliance with US sanctions, at least in terms of trade could put to the test Iran’s declared commitment to the nuclear agreement in the wake of US President Donald J Trump’s withdrawal from the accord last May. Iran has said its continued commitment would be determined by whether the accord remained in its interest, determined primarily by the ability and willingness of the other signatories to the agreement -- China, the European Union, Britain, France, Germany and Russia – to help it blunt the impact of the US sanctions. The signatories have so far maintained that Iran has complied with the agreement even if the European Union recently sanctioned Iran’s intelligence ministry for allegedly targeting Iranian dissidents in the Netherlands, Denmark and France. Germany subsequently banned Mahan Air, an Iranian airline sanctioned by the United States, from landing at its airports, asserting that Mahan Air had ferried fighters and weapons to Iranian-backed forces in Syria. Mahan Air operated four flights a week to Duesseldorf and Munich. The signatories’ position appeared to be supported by a Worldwide Threat Assessment by the US intelligence community that in effect concluded that the Trump administration’s Iran policy had so far failed. "We continue to assess that Iran is not currently undertaking the key nuclear weapons-development activities we judge necessary to produce a nuclear device,” Director of National Intelligence Daniel Coats told the Senate Intelligence Committee in a hearing on the 42-page report. The report warned that US policy could empower Iranian hard-liners; had sparked at best only sporadic uncoordinated anti-government protests in the Islamic Republic; had failed to persuade Iran to change its regional and defense policy; and could prompt it to pursue more aggressive policies to counter perceived US, Saudi and Israeli attempts to destabilise the regime in Tehran. Disclosure of Chinese willingness to comply to some degree with US sanctions as well as the European sanctions come in advance of a conference in Warsaw next month convened by the United States to discuss peace and security in the Middle East. The conference, to which Iran has not been invited, is widely seen as a US effort to bolster support for its Iran policy. Russia and EU foreign policy chief Federica Mogherini have said that they would not be participating in the meeting. An article in China’s state-owned Global Times discussing the Warsaw meeting under the headline, Poland is getting closer to the US, but should China be worried? Noted that Poland had arrested on espionage charges a former Chinese employee of Huawei and was considering banning the company. The European Union, in a bid to blunt the impact of the US sanctions, is believed to be on the verge of launching a financial clearinghouse known as the Special Purpose Vehicle (SPV) that would allow European companies to continue to trade with Iran in accordance with EU law and could be open to other partners such as China. The vehicle is being conceived as an alternative to the Brussels-based Society for the Worldwide Interbank Financial Telecommunication (SWIFT) international financial messaging system used by more than 10,000 banks worldwide. The US has blacklisted tens of Iranian banks and pressured SWIFT into agreeing to steer clear of handling transactions of those banks. The Bourse & Bazaar report warned that continued Chinese refusal to buck US sanctions and ensure Iran has the necessary industrial machinery and technology to keep its economy running would fuel unemployment in the country that could be “devastating and destabilising.” The report said Iran was more likely to withdraw from the nuclear agreement in a move that could significantly raise tensions in the Middle East as a result of Chinese rather than European compliance with US sanctions. “If the nuclear deal collapses due to extraordinary economic pressures in Iran, China may be to blame,” the report said. (Disclaimer: The opinions expressed above are the personal views of the author and do not reflect the views of ZMCL)

In line with US sanctions, China dramatically reduces trade with Tehran

As much as <a href="http://www.wionews.com/world/us-rejects-advance-trade-meeting-with-china-reports-192094">US&nbsp;President Donald Trump</a> wants to boost markets through a trade pact with China, he will not soften his position that Beijing must make real structural reforms, including how it handles intellectual property, to reach a deal, advisers say.

Offering to buy more American goods is unlikely by itself to overcome an issue that has bedeviled talks between the two countries. Those talks are set to continue when Chinese Vice Premier Liu He visits Washington at the end of January.

The United States accuses China of stealing intellectual property and forcing American companies to share technology when they do business in China. Beijing denies the accusations.

With a March 1 deadline approaching to reach an agreement or risk an escalation of tariffs on another $200 billion worth of Chinese goods, the two sides are still far apart on key, structural elements critical for a deal, according to sources familiar with the talks.

"We're not yet in a position where our concerns have been addressed sufficiently," one US&nbsp;official said, speaking on condition of anonymity. The official said the Trump team, led by hardline US Trade Representative Robert Lighthizer, was focussed on such structural issues as well as trade imbalances.

White House economic adviser Larry Kudlow told Reuters that forced technology transfers, IP theft and ownership restrictions remained a top priority for Trump.

"The president's said many times how crucial that is, and he's not going to back down," Kudlow said.

Lack of progress led the Trump administration to decline an in-person meeting with a lower-level Chinese delegation for preparatory talks ahead of Liu He's visit, a source familiar with the situation told Reuters.

The Financial Times also reported that an offer for preparatory meeting was rejected, but White House officials pushed back on the suggestion that any meeting was cancelled.

"With respect, the story is not true," Kudlow told CNBC, referring to the FT report.

"The teams remain in touch in preparation for high-level talks with Vice Premier Liu He at the end of this month," said White House spokeswoman Lindsay Walters.

Trump and Chinese President Xi Jinping agreed on a ceasefire in their trade war at the G20 meeting in Buenos Aires last year, setting a 90-day period to discuss differences and agree a deal.

Those talks have yet to produce anything on paper.

"There's progress in that the two sides are talking. But I look at it like this: there's still nothing agreed on in writing," said one source familiar with the discussions.

Trump has painted developments in the US-China trade talks as largely positive, aware of the effect that the tensions have had on stock markets.

The S&amp;P 500 registered its biggest four-week percentage gain since 2011 on Friday after dropping nearly 20 per cent from its record September close on Christmas Eve. The benchmark index lost ground on Tuesday after a national holiday on Monday.

"We've really had a very extraordinary number of meetings, and a deal could very well happen with China. It's going very well," Trump told reporters at the White House on Saturday.

China has offered more than $1.2 trillion in additional commitments on trade, Treasury Secretary Steve Mnuchin said last month.

That is not sufficient for Trump or his team.

"To think that this is going to end with simple 'commitments,' I think, is overlooking the historical experience that we've had," the US&nbsp;official said.

Chinese officials pledged to buy enough US&nbsp;products to wipe out the US-China trade deficit at talks in Beijing earlier this month but also hedged its position, saying it depended on the demands of Chinese companies, said Scott Kennedy, director of the Project on Chinese Business and Political Economy at the Center for Strategic and International Studies.

The Chinese have indicated they feel they already addressed US&nbsp;concerns about intellectual property rights through a new law and other actions, Kennedy said.

"These weren't sufficient to satisfy the US negotiation team. So we'll see if the Chinese give any more on those or if they still try to focus on sweetening the purchases side, and hoping that Trump bites on the potential big numbers," he said.

Barring progress at the end of the 90-day period, the Trump administration is scheduled to increase tariffs on $200 billion worth of Chinese goods from the current 10 per cent to 25 per cent.

"All I'll say is the meetings coming up at the end of the month with Liu He are very important," Kudlow said.

As much as US President Donald Trump wants to boost markets through a trade pact with China, he will not soften his position that Beijing must make real structural reforms, including how it handles intellectual property, to reach a deal, advisers say.

As much as US President Donald Trump wants to boost markets through a trade pact with China, he will not soften his position that Beijing must make real structural reforms, including how it handles intellectual property, to reach a deal, advisers say. Offering to buy more American goods is unlikely by itself to overcome an issue that has bedeviled talks between the two countries. Those talks are set to continue when Chinese Vice Premier Liu He visits Washington at the end of January. The United States accuses China of stealing intellectual property and forcing American companies to share technology when they do business in China. Beijing denies the accusations. With a March 1 deadline approaching to reach an agreement or risk an escalation of tariffs on another $200 billion worth of Chinese goods, the two sides are still far apart on key, structural elements critical for a deal, according to sources familiar with the talks. "We're not yet in a position where our concerns have been addressed sufficiently," one US official said, speaking on condition of anonymity. The official said the Trump team, led by hardline US Trade Representative Robert Lighthizer, was focussed on such structural issues as well as trade imbalances. White House economic adviser Larry Kudlow told Reuters that forced technology transfers, IP theft and ownership restrictions remained a top priority for Trump. "The president's said many times how crucial that is, and he's not going to back down," Kudlow said. Lack of progress led the Trump administration to decline an in-person meeting with a lower-level Chinese delegation for preparatory talks ahead of Liu He's visit, a source familiar with the situation told Reuters. The Financial Times also reported that an offer for preparatory meeting was rejected, but White House officials pushed back on the suggestion that any meeting was cancelled. "With respect, the story is not true," Kudlow told CNBC, referring to the FT report. "The teams remain in touch in preparation for high-level talks with Vice Premier Liu He at the end of this month," said White House spokeswoman Lindsay Walters. Trump and Chinese President Xi Jinping agreed on a ceasefire in their trade war at the G20 meeting in Buenos Aires last year, setting a 90-day period to discuss differences and agree a deal. Those talks have yet to produce anything on paper. "There's progress in that the two sides are talking. But I look at it like this: there's still nothing agreed on in writing," said one source familiar with the discussions. Trump has painted developments in the US-China trade talks as largely positive, aware of the effect that the tensions have had on stock markets. The S&P 500 registered its biggest four-week percentage gain since 2011 on Friday after dropping nearly 20 per cent from its record September close on Christmas Eve. The benchmark index lost ground on Tuesday after a national holiday on Monday. "We've really had a very extraordinary number of meetings, and a deal could very well happen with China. It's going very well," Trump told reporters at the White House on Saturday. China has offered more than $1.2 trillion in additional commitments on trade, Treasury Secretary Steve Mnuchin said last month. That is not sufficient for Trump or his team. "To think that this is going to end with simple 'commitments,' I think, is overlooking the historical experience that we've had," the US official said. Chinese officials pledged to buy enough US products to wipe out the US-China trade deficit at talks in Beijing earlier this month but also hedged its position, saying it depended on the demands of Chinese companies, said Scott Kennedy, director of the Project on Chinese Business and Political Economy at the Center for Strategic and International Studies. The Chinese have indicated they feel they already addressed US concerns about intellectual property rights through a new law and other actions, Kennedy said. "These weren't sufficient to satisfy the US negotiation team. So we'll see if the Chinese give any more on those or if they still try to focus on sweetening the purchases side, and hoping that Trump bites on the potential big numbers," he said. Barring progress at the end of the 90-day period, the Trump administration is scheduled to increase tariffs on $200 billion worth of Chinese goods from the current 10 per cent to 25 per cent. "All I'll say is the meetings coming up at the end of the month with Liu He are very important," Kudlow said.

Trump will not soften hard line on China to make deal: Advisers

Over hundreds of academics, former diplomats and activists have written an open letter to Chinese President Xi Jinping calling for the release of two Canadians arrested on national security grounds, news agency AFP reported on Tuesday.

The tension between<a href="http://www.wionews.com/world/china-says-detained-canadian-lacks-diplomatic-immunity-190233"> China and Canada</a> intensified recently after the authorities arrested Huawei Chief Financial Officer, Meng Wanzhou at Vancouver airport for allegedly violating Iran sanctions imposed by the US.&nbsp;

Also read: <a href="http://www.wionews.com/world/canadian-government-banning-huawei-5g-network-will-have-repercussions-china-191217">Canadian government banning Huawei 5G network will have repercussions, says China</a>

Following the CFO's arrest, China detained former Canadian diplomat Michael Kovrig and businessman Michael Spavor on December 10.&nbsp;

They were arrested for endangering "China's national security".&nbsp;

Also read: <a href="http://www.wionews.com/world/strongly-urge-us-to-immediately-drop-extradition-request-for-huaweis-meng-wanzhou-china-192033">Strongly urge </a><a href="http://www.wionews.com/world/strongly-urge-us-to-immediately-drop-extradition-request-for-huaweis-meng-wanzhou-china-192033">US</a><a href="http://www.wionews.com/world/strongly-urge-us-to-immediately-drop-extradition-request-for-huaweis-meng-wanzhou-china-192033"> to immediately drop extradition request for Huawei's Meng Wanzhou, says China</a>

Contradicting with China's claims, the letter written in English and Chinese, said that both Kovrig and Spavor worked to improve understanding between China and Canada and promoted better relations with the world.&nbsp;

"Kovrig and Savor's detentions send a message that this kind of constructive work is unwelcome and even risky in China," read the page-long letter, which had 143 signatories from 19 countries. 
&nbsp;&nbsp; 
According to the report, China, however, has reacted angrily to the letter.&nbsp;

AFP quoted foreign ministry spokesperson, Hua Chunying calling the letter "great disrespectful" to the country. &nbsp;&nbsp;She also said that it interferes with China's sovereignty and judicial process.

The missive was signed by six former Canadian ambassadors to China: Fred Bild, Joseph Caron, Earl Drake, David Mulroney, Guy Saint-Jacques and Robert Wright; former US ambassadors Gary Locke and Winston Lord; and Hong Kong's last British governor Chris Patten.

Former ambassadors to China from Germany, Mexico, Britain and Sweden also lent their names, along with many of the world's leading China academics, AFP reported.

The tension between Beijing and Ottawa also escalated quickly after a<a href="http://www.wionews.com/world/hostage-politics-death-sentence-heightens-china-canada-tensions-190522"> Chinese court sentenced a Canadian person to death </a>on drugs trafficking charges.&nbsp;

Meanwhile, <a href="http://www.wionews.com/world/us-to-formally-seek-extradition-of-huawei-executive-meng-wanzhou-globe-and-mail-191936">David MacNaughton,</a> in an interview with the Canadian newspaper published on Monday, said the US has told Canada it will request Meng's extradition, but he did not say when the request will be made. The deadline for filing is January 30, or 60 days after Meng was arrested on December 1 in Vancouver.

Meng, the daughter of Huawei Technologies Co Ltd founder Ren Zhengfei, was arrested at the request of the United States over alleged violations of US sanctions on Iran. She was released on bail last month and is due in court in Vancouver on February 6.

(With inputs from agencies)

Over hundreds of academics, former diplomats and activists have written an open letter to Chinese President Xi Jinping calling for the release of two Canadians arrested on national security grounds, news agency AFP reported on Tuesday.

Over hundreds of academics, former diplomats and activists have written an open letter to Chinese President Xi Jinping calling for the release of two Canadians arrested on national security grounds, news agency AFP reported on Tuesday. The tension between China and Canada intensified recently after the authorities arrested Huawei Chief Financial Officer, Meng Wanzhou at Vancouver airport for allegedly violating Iran sanctions imposed by the US. Also read: Canadian government banning Huawei 5G network will have repercussions, says China Following the CFO's arrest, China detained former Canadian diplomat Michael Kovrig and businessman Michael Spavor on December 10. They were arrested for endangering "China's national security". Also read: Strongly urge US to immediately drop extradition request for Huawei's Meng Wanzhou, says China Contradicting with China's claims, the letter written in English and Chinese, said that both Kovrig and Spavor worked to improve understanding between China and Canada and promoted better relations with the world. "Kovrig and Savor's detentions send a message that this kind of constructive work is unwelcome and even risky in China," read the page-long letter, which had 143 signatories from 19 countries. According to the report, China, however, has reacted angrily to the letter. AFP quoted foreign ministry spokesperson, Hua Chunying calling the letter "great disrespectful" to the country. She also said that it interferes with China's sovereignty and judicial process. The missive was signed by six former Canadian ambassadors to China: Fred Bild, Joseph Caron, Earl Drake, David Mulroney, Guy Saint-Jacques and Robert Wright; former US ambassadors Gary Locke and Winston Lord; and Hong Kong's last British governor Chris Patten. Former ambassadors to China from Germany, Mexico, Britain and Sweden also lent their names, along with many of the world's leading China academics, AFP reported. The tension between Beijing and Ottawa also escalated quickly after a Chinese court sentenced a Canadian person to death on drugs trafficking charges. Meanwhile, David MacNaughton, in an interview with the Canadian newspaper published on Monday, said the US has told Canada it will request Meng's extradition, but he did not say when the request will be made. The deadline for filing is January 30, or 60 days after Meng was arrested on December 1 in Vancouver. Meng, the daughter of Huawei Technologies Co Ltd founder Ren Zhengfei, was arrested at the request of the United States over alleged violations of US sanctions on Iran. She was released on bail last month and is due in court in Vancouver on February 6. (With inputs from agencies)

Ex-Diplomats, scholars write open letter to President Xi Jinping urging release of detained Canadians in China

White House economic adviser Larry Kudlow has played down reports of a breakthrough in US-China trade talks, but said progress had been made.

"We've made some progress with China in the deputy's meeting in Beijing," Larry Kudlow, director of the National Economic Council, told Fox Business.&nbsp;

But he added, "Nothing has been resolved, nothing on paper, no contracts."

Recent news reports of a deal being imminent were not accurate, he said.

Bloomberg had reported earlier Friday that Beijing had offered to eliminate its soaring trade surplus with the United States in five years.

The US sent a delegation led by Deputy Trade Representative Jeffrey Gerrish to Beijing earlier this month, where they held talks with China's foreign ministry to seek ways to end their trade war.

China's chief negotiator on trade disputes with the United States, Vice Premier Liu He, is due in Washington on January 30 and 31 for the next round talks.

In December, President Trump and Chinese leader Xi Jinping agreed to a truce in their three-month trade war.

Washington suspended plans to increase tariffs on Chinese goods, to give negotiators space to find a solution to the dispute, which has triggered fears of a global economic slowdown.

White House economic adviser Larry Kudlow has played down reports of a breakthrough in US-China trade talks, but said progress had been made. "We've made some progress with China in the deputy's meeting in Beijing," Larry Kudlow, director of the National Economic Council, told Fox Business.

White House economic adviser Larry Kudlow has played down reports of a breakthrough in US-China trade talks, but said progress had been made. "We've made some progress with China in the deputy's meeting in Beijing," Larry Kudlow, director of the National Economic Council, told Fox Business. But he added, "Nothing has been resolved, nothing on paper, no contracts." Recent news reports of a deal being imminent were not accurate, he said. Bloomberg had reported earlier Friday that Beijing had offered to eliminate its soaring trade surplus with the United States in five years. The US sent a delegation led by Deputy Trade Representative Jeffrey Gerrish to Beijing earlier this month, where they held talks with China's foreign ministry to seek ways to end their trade war. China's chief negotiator on trade disputes with the United States, Vice Premier Liu He, is due in Washington on January 30 and 31 for the next round talks. In December, President Trump and Chinese leader Xi Jinping agreed to a truce in their three-month trade war. Washington suspended plans to increase tariffs on Chinese goods, to give negotiators space to find a solution to the dispute, which has triggered fears of a global economic slowdown.

No breakthrough in US-China trade talks: Trump adviser

<a href="https://www.google.com/url?q=http://www.wionews.com/opinions/why-there-will-be-no-winners-from-the-us-china-trade-war-191220&amp;sa=U&amp;ved=0ahUKEwibl46ClfffAhUFQH0KHX_NBDUQFggFMAA&amp;client=internal-uds-cse&amp;cx=006054055338965708568:09spwrlibei&amp;usg=AOvVaw3otA3INlmP6sCB8rwcjZGA">China</a>'s economy grew at its slowest pace in almost three decades in 2018, analysts in an AFP poll said, as the government struggles to contain ballooning debt and a bruising trade war with the United States.

And in a sign of the battle Beijing faces in getting things back on track, the survey of 13 economists also forecast expansion in the last three months to be at its weakest since the global financial crisis 10 years ago.

The figures are the latest in a long-running trend that has prompted officials to vow they will not let the economy "fall off a cliff" and announce support measures including tax cuts and making it easier for banks to lend.

The full-year figure of 6.6 per cent would be the worst since 1990 when the economy was hit by outrage over the Tiananmen Square crackdown a year earlier.

The October-December rate of 6.4 per cent marks the slowest quarter since 2009 and indicates China faces a tough year ahead.

"Economic momentum is clearly slowing," said Raymond Yeung, an economist at ANZ bank.

Economists in China and abroad have long suspected data is massaged upward, often noting that full-year gross domestic product hits Beijing's pre-set targets with suspicious regularity.

A widely respected global business think tank, the US-based Conference Board, says its methodology indicates growth of 4.1 per cent growth for the year.

Relations with a top trading partner the United States deteriorated sharply last year after <a href="https://www.google.com/url?q=http://www.wionews.com/world/trump-says-record-long-government-shutdown-could-be-resolved-in-15-minutes-189918&amp;sa=U&amp;ved=0ahUKEwiu1YmflfffAhWLqY8KHb1HB_cQFggFMAA&amp;client=internal-uds-cse&amp;cx=006054055338965708568:09spwrlibei&amp;usg=AOvVaw2WItk1bJRC5Ldh7JuLUsA-">President Donald Trump</a> hit roughly half of the Chinese imports with new tariffs in an attempt to force trade concessions from Beijing.

The trade war with the US is on hold for now after President Xi Jinping and Donald Trump agreed to a three-month ceasefire while the two sides try to find a resolution.

China's top negotiator is heading to Washington for talks this month ahead of a March deadline to avoid further tariff hikes, while a report said the US is considering lifting some levies in return for reforms by Beijing.

While analysts say the standoff has dented confidence — leaving the stock markets battered and the yuan weakened — they attribute most the downturn to government policies to tackle growing debt, financial risk, and pollution.

Stimulus measures 
&nbsp; 
The 2018 growth forecast is above the official target of around 6.5 per cent but down from the 6.8 per cent chalked up in the year before — after officials on Friday revised down the 2017 figure.&nbsp;

The National Bureau of Statistics will release its official results on Monday.

After halting some major infrastructure<a href="https://www.google.com/url?q=http://www.wionews.com/india-news/government-clears-rs-4242-crore-it-filing-project-selects-infosys-as-developer-190802&amp;sa=U&amp;ved=0ahUKEwi62J6xlfffAhXKQY8KHVusBC8QFggFMAA&amp;client=internal-uds-cse&amp;cx=006054055338965708568:09spwrlibei&amp;usg=AOvVaw1Ah_DbpMf6YyZ__4swefIq"> project</a>s such as subway lines and motorways in the first half of the year to keep a lid on debt, policymakers gradually eased up and encouraged more infrastructure spending in the autumn.

"The squeeze on shadow financing activity took a particularly heavy toll on infrastructure investment," economists at Fitch Ratings wrote in a report, referring to off-the-books loans.

Analysts say the credit tightening also made loans harder to come by for some would-be car buyers, which contributed to annual car sales falling for the first time in more than 20 years.

It is one of a raft of recent economic indicators that point to a deepening slowdown. Imports and exports fell in December while the manufacturing sector contracted for the first time in more than two years.

Chinese officials have announced tax cuts, fee reductions, and cutting red tape, among other measures to stimulate the economy.

"We propose to keep the Chinese economy operating in a reasonable range, which means that we allow the economic growth rate to have certain fluctuations," Chinese Premier Li Keqiang told academics and businessmen this week.

"But it cannot have major ups and major downs, and it cannot 'fall off a cliff'," he said.

'Sword of Damocles'&nbsp;

Li vowed to help private businesses and "take advantage of our massive domestic <a href="https://www.google.com/url?q=http://www.wionews.com/business-economy/pound-stands-firm-after-may-loss-asian-equity-markets-rise-190681&amp;sa=U&amp;ved=0ahUKEwjRldD4lfffAhVIqI8KHRw5B-QQFggFMAA&amp;client=internal-uds-cse&amp;cx=006054055338965708568:09spwrlibei&amp;usg=AOvVaw3ixutNsCQbGuNL0Q91UIzE">market</a>".

With officials intent on not further inflating the debt bubble, and the export picture dimming, it has reinforced the need for China to rely on its legion of consumers to grow its economy.

"We see a fast deceleration on investment and also retail sales, which weigh on the growth slowdown," said Liu Ligang, chief China economist at Citigroup.

"The financial deleveraging made it really hard for the private sectors to get funding," he said.

Exports still drive a significant chunk of China's economy and Washington's targeting of cars, machinery, electronics, consumer appliances, and other products have led some firms to shift production out of the country.

Most exporters sped up their shipments across the Pacific to beat the tariff deadlines, with exports to the US holding up until November.&nbsp;

"The trade war with the US should be regarded as a ... Sword of Damocles for the Chinese economy, but its impact is only really visible in the very last months of 2018," said Bjorn Giesbergen, senior economist at Rabobank.

China's economy grew at its slowest pace in almost three decades in 2018, analysts in an AFP poll said, as the government struggles to contain ballooning debt and a bruising trade war with the United States.

China's economy grew at its slowest pace in almost three decades in 2018, analysts in an AFP poll said, as the government struggles to contain ballooning debt and a bruising trade war with the United States. And in a sign of the battle Beijing faces in getting things back on track, the survey of 13 economists also forecast expansion in the last three months to be at its weakest since the global financial crisis 10 years ago. The figures are the latest in a long-running trend that has prompted officials to vow they will not let the economy "fall off a cliff" and announce support measures including tax cuts and making it easier for banks to lend. The full-year figure of 6.6 per cent would be the worst since 1990 when the economy was hit by outrage over the Tiananmen Square crackdown a year earlier. The October-December rate of 6.4 per cent marks the slowest quarter since 2009 and indicates China faces a tough year ahead. "Economic momentum is clearly slowing," said Raymond Yeung, an economist at ANZ bank. Economists in China and abroad have long suspected data is massaged upward, often noting that full-year gross domestic product hits Beijing's pre-set targets with suspicious regularity. A widely respected global business think tank, the US-based Conference Board, says its methodology indicates growth of 4.1 per cent growth for the year. Relations with a top trading partner the United States deteriorated sharply last year after President Donald Trump hit roughly half of the Chinese imports with new tariffs in an attempt to force trade concessions from Beijing. The trade war with the US is on hold for now after President Xi Jinping and Donald Trump agreed to a three-month ceasefire while the two sides try to find a resolution. China's top negotiator is heading to Washington for talks this month ahead of a March deadline to avoid further tariff hikes, while a report said the US is considering lifting some levies in return for reforms by Beijing. While analysts say the standoff has dented confidence — leaving the stock markets battered and the yuan weakened — they attribute most the downturn to government policies to tackle growing debt, financial risk, and pollution. Stimulus measures The 2018 growth forecast is above the official target of around 6.5 per cent but down from the 6.8 per cent chalked up in the year before — after officials on Friday revised down the 2017 figure. The National Bureau of Statistics will release its official results on Monday. After halting some major infrastructure projects such as subway lines and motorways in the first half of the year to keep a lid on debt, policymakers gradually eased up and encouraged more infrastructure spending in the autumn. "The squeeze on shadow financing activity took a particularly heavy toll on infrastructure investment," economists at Fitch Ratings wrote in a report, referring to off-the-books loans. Analysts say the credit tightening also made loans harder to come by for some would-be car buyers, which contributed to annual car sales falling for the first time in more than 20 years. It is one of a raft of recent economic indicators that point to a deepening slowdown. Imports and exports fell in December while the manufacturing sector contracted for the first time in more than two years. Chinese officials have announced tax cuts, fee reductions, and cutting red tape, among other measures to stimulate the economy. "We propose to keep the Chinese economy operating in a reasonable range, which means that we allow the economic growth rate to have certain fluctuations," Chinese Premier Li Keqiang told academics and businessmen this week. "But it cannot have major ups and major downs, and it cannot 'fall off a cliff'," he said. 'Sword of Damocles' Li vowed to help private businesses and "take advantage of our massive domestic market". With officials intent on not further inflating the debt bubble, and the export picture dimming, it has reinforced the need for China to rely on its legion of consumers to grow its economy. "We see a fast deceleration on investment and also retail sales, which weigh on the growth slowdown," said Liu Ligang, chief China economist at Citigroup. "The financial deleveraging made it really hard for the private sectors to get funding," he said. Exports still drive a significant chunk of China's economy and Washington's targeting of cars, machinery, electronics, consumer appliances, and other products have led some firms to shift production out of the country. Most exporters sped up their shipments across the Pacific to beat the tariff deadlines, with exports to the US holding up until November. "The trade war with the US should be regarded as a ... Sword of Damocles for the Chinese economy, but its impact is only really visible in the very last months of 2018," said Bjorn Giesbergen, senior economist at Rabobank.

China growth hit slowest pace in decades in 2018: Report

President Donald Trump said Monday he expects to be able to reach a trade deal with China, which is feeling the impact of US tariffs.

"We are doing very well with China. They're having a hard with their economy because of the tariffs," Trump told reporters at the White House.&nbsp;

"I think that we are going to be able to do a deal with China."&nbsp;

US officials were in Beijing last week for talks aimed at ending the bruising trade confrontation that has subjected more than $350 billion in two-way trade to steep tariffs.

Chinese officials said the next round of negotiations would be held in Washington between January 30 and 31.

Trump and Chinese leader Xi Jinping agreed on December 1 to a three-month truce in the escalating spat.

"I can tell you we are getting things that before I became president you would have had no chance at getting," Trump said. "They would have laughed in your president's face."

As Trump has pressed Beijing to increase imports of US goods, China's trade surplus with the United States hit a record last year of $323.3 billion, an 11 per cent increase over 2017, according to Chinese customs data released Monday.

However, in a sign that the White House's punitive measures are having an impact, China's exports to the US sank last month.&nbsp;

And China's total exports fell 4.4 per cent in December from a year earlier, while imports dropped 7.6 per cent, reflecting sluggish demand at home and abroad.

President Donald Trump said Monday he expects to be able to reach a trade deal with China, which is feeling the impact of US tariffs. "We are doing very well with China.

President Donald Trump said Monday he expects to be able to reach a trade deal with China, which is feeling the impact of US tariffs. "We are doing very well with China. They're having a hard with their economy because of the tariffs," Trump told reporters at the White House. "I think that we are going to be able to do a deal with China." US officials were in Beijing last week for talks aimed at ending the bruising trade confrontation that has subjected more than $350 billion in two-way trade to steep tariffs. Chinese officials said the next round of negotiations would be held in Washington between January 30 and 31. Trump and Chinese leader Xi Jinping agreed on December 1 to a three-month truce in the escalating spat. "I can tell you we are getting things that before I became president you would have had no chance at getting," Trump said. "They would have laughed in your president's face." As Trump has pressed Beijing to increase imports of US goods, China's trade surplus with the United States hit a record last year of $323.3 billion, an 11 per cent increase over 2017, according to Chinese customs data released Monday. However, in a sign that the White House's punitive measures are having an impact, China's exports to the US sank last month. And China's total exports fell 4.4 per cent in December from a year earlier, while imports dropped 7.6 per cent, reflecting sluggish demand at home and abroad.

I think we are going to be able to do trade deal with China: Trump

The history of trade relations between China and the Arab world goes back to centuries. In ancient times, the Ottoman and Arab empires were the bridge between east and west along the Silk Road and it is the very trade route, Beijing now aims to revive.&nbsp;

West Asia is central to China's belt and road initiative, Chinese President Xi Jinping in his six-year tenure has personally put a lot of effort into enhancing ties with the Arab world.

His strategy is based on four main pillars -- energy cooperation, infrastructure, trade facilitation and technology.

Seaports are the gateway for the Chinese belt and road initiative -- and Washington is increasingly worried since Beijing is courting long-standing American ally.

In the recent visit to Israel, US national security advisor John Bolton had China on top of the agenda.

During his visit, Bolton expressed concerns about the transfer of Israel's military technology to China, and about possible eavesdropping on callers using Chinese equipment, in particular, Huawei.&nbsp;

The Shanghai international port group, in which the Chinese government has the majority stake, will take control over the Israeli port of Haifa in 2021.

Chinese companies are completing the new container terminal in the Khalifa port which is set to double its capacity.

The bilateral trade is expected to reach 58 billion dollars in 2019.&nbsp;

China buys 70 per cent of its oil from the gulf and is working on free trade. Meanwhile, the UAE &nbsp;has granted shares of onshore and offshore oil blocks to Beijing. &nbsp;

No wonder, Xi Jinping was the first Chinese president to visit the Emirates in 30 years.&nbsp;

But this is not only about the oil-rich Gulf.

China promised investments worth 90 million dollars in Jordan, Lebanon, Syria and Yemen.

Jordan is in advanced talks with China national nuclear corporation to build its first nuclear reactor.&nbsp;

Shifting from the traditional non-interference strategy, Beijing has also stepped into the long-standing Palestinian issue. &nbsp;

Last year in July Chinese President announced $15 million in aid to Palestine to "support the development of its economy".

"China will provide 100 million yuan ($15 million) in aid for Palestine to support the development of its economy and improve its people's livelihoods. China will also provide emergency humanitarian aid for Palestine.”

Palestine imports five-hundreds million dollars worth of Chinese goods every year. China is also the second largest supplier to the isolated Gaza Strip.

Beijing also supports the establishment of an independent Palestinian state with east Jerusalem as its capital and in return, Arab countries adhere to the one-China policy avoiding any relationship with Taiwan.

Meanwhile, the Indian government is aware of China's territorial game in West Asia.

Prime Minister Narendra Modi has travelled five times to the region to secure agreements with the Gulf countries, which are India's traditional economic partners.

However, New Delhi must keep looking west if it wants to effectively counter China's aggressive designs on the region.&nbsp;

The history of trade relations between China and the Arab world goes back to centuries. In ancient times, the Ottoman and Arab empires were the bridge between east and west along the Silk Road and it is the very trade route, Beijing now aims to revive.

The history of trade relations between China and the Arab world goes back to centuries. In ancient times, the Ottoman and Arab empires were the bridge between east and west along the Silk Road and it is the very trade route, Beijing now aims to revive. West Asia is central to China's belt and road initiative, Chinese President Xi Jinping in his six-year tenure has personally put a lot of effort into enhancing ties with the Arab world. His strategy is based on four main pillars -- energy cooperation, infrastructure, trade facilitation and technology. Seaports are the gateway for the Chinese belt and road initiative -- and Washington is increasingly worried since Beijing is courting long-standing American ally. In the recent visit to Israel, US national security advisor John Bolton had China on top of the agenda. During his visit, Bolton expressed concerns about the transfer of Israel's military technology to China, and about possible eavesdropping on callers using Chinese equipment, in particular, Huawei. The Shanghai international port group, in which the Chinese government has the majority stake, will take control over the Israeli port of Haifa in 2021. Chinese companies are completing the new container terminal in the Khalifa port which is set to double its capacity. The bilateral trade is expected to reach 58 billion dollars in 2019. China buys 70 per cent of its oil from the gulf and is working on free trade. Meanwhile, the UAE has granted shares of onshore and offshore oil blocks to Beijing. No wonder, Xi Jinping was the first Chinese president to visit the Emirates in 30 years. But this is not only about the oil-rich Gulf. China promised investments worth 90 million dollars in Jordan, Lebanon, Syria and Yemen. Jordan is in advanced talks with China national nuclear corporation to build its first nuclear reactor. Shifting from the traditional non-interference strategy, Beijing has also stepped into the long-standing Palestinian issue. Last year in July Chinese President announced $15 million in aid to Palestine to "support the development of its economy". "China will provide 100 million yuan ($15 million) in aid for Palestine to support the development of its economy and improve its people's livelihoods. China will also provide emergency humanitarian aid for Palestine.” Palestine imports five-hundreds million dollars worth of Chinese goods every year. China is also the second largest supplier to the isolated Gaza Strip. Beijing also supports the establishment of an independent Palestinian state with east Jerusalem as its capital and in return, Arab countries adhere to the one-China policy avoiding any relationship with Taiwan. Meanwhile, the Indian government is aware of China's territorial game in West Asia. Prime Minister Narendra Modi has travelled five times to the region to secure agreements with the Gulf countries, which are India's traditional economic partners. However, New Delhi must keep looking west if it wants to effectively counter China's aggressive designs on the region.

How China is stepping up investments in West Asia

<a href="http://www.wionews.com/world/north-koreas-kim-discusses-expected-summit-with-trump-in-talks-in-china-report-189075">Kim Jong Un's train left Beijing </a>on Wednesday after the North Korean leader visited his key ally on a trip seen as a strategy session ahead of his expected summit with Donald Trump.

<a href="http://www.wionews.com/world/kim-jong-un-seeks-to-up-ante-with-xi-summit-analysts-189006">Kim arrived in Beijing on Tuesday </a>for his fourth visit to Pyongyang's sole major diplomatic friend, reportedly visiting a factory and meeting President Xi Jinping.

The North Korean leader's <a href="http://www.wionews.com/world/kim-jong-un-on-4-day-visit-to-china-to-meet-president-xi-report-188901">motorcade was spotted arriving at the Beijing </a>central railway station early afternoon, and the train departed shortly after on a day-long ride back to the northeast border, according to AFP journalists.

The unannounced trip was largely shrouded in secrecy. Beyond confirming his presence in Beijing, no details have been provided by either North Korea or China on his schedule.

Kim met for one hour with Chinese President Xi Jinping on Tuesday - believed to be the North Korean leader's birthday - and the two later dined with their wives at Beijing's Great Hall of the People, according to South Korea's Yonhap news agency.

The meeting focused on Kim's expected meeting with Trump, according to Yonhap.

In a New Year speech, Kim warned that Pyongyang may change its approach to nuclear talks if Washington persists with sanctions.

Relations between China and North Korea had deteriorated in recent years over Pyongyang's nuclear activities, but Kim has made sure to keep Xi informed about his dealings with the United States and South Korea as ties appear to have warmed.

"In order to resist the high pressure of the US, he must communicate with Xi in advance to see what steps he can take to deal with Trump," Beijing-based independent political commentator Hua Po told AFP.

"Kim needs the support of Xi so as to ask the US to make substantial steps, such as providing assistance to North Korea and normalising relations with North Korea," Hua said.

Kim chose China for his maiden official trip abroad last year before holding meetings with South Korean President Moon Jae-in and Trump.

Trump said Sunday that the United States and North Korea are negotiating the location of their next summit.

Discussions between the US and North Korea over Pyongyang's nuclear arsenal have stalled since Kim and Trump's high-profile summit in Singapore in June where they issued a vaguely worded declaration about denuclearisation.

The United States insists that United Nations sanctions must remain in place until North Korea gives up its weapons, while Pyongyang wants them immediately eased. China also wants the sanctions to be relaxed.

But Chinese officials also likely want to impress on Kim — who has so far pursued only limited reforms to his statist economy — the benefits the giant Communist country has enjoyed in its transformation from an impoverished nation to economic powerhouse.

Yonhap, citing unidentified sources, reported that Kim toured a factory operated by medicine firm Tongrentang for about half an hour in an economic zone in the Chinese capital.

He then went to the Beijing Hotel where he was expected to have lunch with Xi before his departure.

"For North Korea itself, 2019 is his strategic turning point. If he wants to shift his focus to the development of the economy, he needs China's cooperation," said Lu Chao, a North Korea expert at China's Liaoning Academy of Social Sciences.

"China will also introduce some successful experiences to Kim to help North Korea achieve economic transformation and realise the denuclearisation of the peninsula as soon as possible," Lu told AFP.

In the New Year speech, Kim focused on North Korea's moribund economy, saying that improving people's lives was his top priority and tackling energy shortages was an urgent task.

Hua, the Beijing-based analyst, said changes in the economic model will affect politics, "which poses new challenges to his control over the country."

"For this point, he must ask for advice from China."

The visit coincided with negotiations between US and Chinese officials in Beijing to resolve a bruising trade war between the world's two biggest economies.

Some analysts say China could use its cooperation on the North Korean issue as a bargaining chip in the US trade talks.

But Hua said Kim's visit would have a "limited" effect on the trade negotiations.

"The Sino-US trade negotiations are a matter between China and the US. The weight of North Korea is limited and cannot play a decisive role," he said.

Kim arrived in Beijing on Tuesday for his fourth visit to Pyongyang's sole major diplomatic friend, reportedly visiting a factory and meeting President Xi Jinping.

Kim Jong Un's train left Beijing on Wednesday after the North Korean leader visited his key ally on a trip seen as a strategy session ahead of his expected summit with Donald Trump. Kim arrived in Beijing on Tuesday for his fourth visit to Pyongyang's sole major diplomatic friend, reportedly visiting a factory and meeting President Xi Jinping. The North Korean leader's motorcade was spotted arriving at the Beijing central railway station early afternoon, and the train departed shortly after on a day-long ride back to the northeast border, according to AFP journalists. The unannounced trip was largely shrouded in secrecy. Beyond confirming his presence in Beijing, no details have been provided by either North Korea or China on his schedule. Kim met for one hour with Chinese President Xi Jinping on Tuesday - believed to be the North Korean leader's birthday - and the two later dined with their wives at Beijing's Great Hall of the People, according to South Korea's Yonhap news agency. The meeting focused on Kim's expected meeting with Trump, according to Yonhap. In a New Year speech, Kim warned that Pyongyang may change its approach to nuclear talks if Washington persists with sanctions. Relations between China and North Korea had deteriorated in recent years over Pyongyang's nuclear activities, but Kim has made sure to keep Xi informed about his dealings with the United States and South Korea as ties appear to have warmed. "In order to resist the high pressure of the US, he must communicate with Xi in advance to see what steps he can take to deal with Trump," Beijing-based independent political commentator Hua Po told AFP. "Kim needs the support of Xi so as to ask the US to make substantial steps, such as providing assistance to North Korea and normalising relations with North Korea," Hua said. Kim chose China for his maiden official trip abroad last year before holding meetings with South Korean President Moon Jae-in and Trump. Trump said Sunday that the United States and North Korea are negotiating the location of their next summit. Discussions between the US and North Korea over Pyongyang's nuclear arsenal have stalled since Kim and Trump's high-profile summit in Singapore in June where they issued a vaguely worded declaration about denuclearisation. The United States insists that United Nations sanctions must remain in place until North Korea gives up its weapons, while Pyongyang wants them immediately eased. China also wants the sanctions to be relaxed. But Chinese officials also likely want to impress on Kim — who has so far pursued only limited reforms to his statist economy — the benefits the giant Communist country has enjoyed in its transformation from an impoverished nation to economic powerhouse. Yonhap, citing unidentified sources, reported that Kim toured a factory operated by medicine firm Tongrentang for about half an hour in an economic zone in the Chinese capital. He then went to the Beijing Hotel where he was expected to have lunch with Xi before his departure. "For North Korea itself, 2019 is his strategic turning point. If he wants to shift his focus to the development of the economy, he needs China's cooperation," said Lu Chao, a North Korea expert at China's Liaoning Academy of Social Sciences. "China will also introduce some successful experiences to Kim to help North Korea achieve economic transformation and realise the denuclearisation of the peninsula as soon as possible," Lu told AFP. In the New Year speech, Kim focused on North Korea's moribund economy, saying that improving people's lives was his top priority and tackling energy shortages was an urgent task. Hua, the Beijing-based analyst, said changes in the economic model will affect politics, "which poses new challenges to his control over the country." "For this point, he must ask for advice from China." The visit coincided with negotiations between US and Chinese officials in Beijing to resolve a bruising trade war between the world's two biggest economies. Some analysts say China could use its cooperation on the North Korean issue as a bargaining chip in the US trade talks. But Hua said Kim's visit would have a "limited" effect on the trade negotiations. "The Sino-US trade negotiations are a matter between China and the US. The weight of North Korea is limited and cannot play a decisive role," he said.

Watch: North Korea's Kim ends China visit after meeting President Xi

Watch: WION Fineprint, 8th January 2019

Kim Jong un visits Beijing on Xi Jinping's invitation

Southeast Asian countries should be cautious in negotiating with China on its flagship Belt and Road Initiative (BRI) to avoid being trapped in unsustainable debt, 70 per cent of respondents said in a policy survey released on Monday.

Southeast Asia is increasingly sceptical of US commitment to the region as a strategic partner and a source of security, while China's reach is seen as growing both politically and economically, the study also showed.

"The conventional wisdom that China holds sway in the economic realm while the United States wields its influence in the political-strategic domain will ... need to be revisited in light of the survey results," it said.

The survey by the ISEAS-Yusof Ishak Institute, affiliated with the Singapore government, polled 1,008 respondents from all ten nations of the ASEAN grouping, drawn from government, academic and business communities, civil society and the media.

Nearly half of the respondents said President Xi Jinping's hallmark Belt and Road initiative would bring ASEAN "closer into China's orbit," while a third said the project lacked transparency and 16 per cent predicted it would fail.

A large majority, or 70 per cent, said their governments "should be cautious in negotiating BRI projects, to avoid getting into unsustainable financial debts with China," a view strongest in Malaysia, the Philippines, and Thailand.

Some Western governments have accused China of pulling countries into a debt trap with the initiative, an accusation China has denied.

China was seen by 73 per cent of the respondents as having the greatest economic influence in the region and was also believed to have more influence politically and strategically than the United States.

Six out of ten respondents said US influence globally had deteriorated from a year ago and two-thirds believed US engagement with Southeast Asia declined. About a third said they had little or no confidence in the US as a strategic partner and provider of regional security.

Fewer than one in 10 saw China as "a benign and benevolent power," with nearly a half saying Beijing possessed "an intent to turn Southeast Asia into its sphere of influence".

The study's authors wrote, "This result ... is a wake-up call for China to burnish its negative image across Southeast Asia despite Beijing’s repeated assurance of its benign and peaceful rise."

There was a call for the Association of Southeast Asian Nations (ASEAN) to play a more active role in Myanmar's Rohingya crisis, although a majority of the respondents sought mediation rather than diplomatic pressure.

The United Nations says 730,000 Rohingya Muslims have fled from Myanmar's Rakhine State to Bangladesh since the military's crackdown on insurgent attacks.

US-mandated investigators have accused Myanmar's military of carrying out killings, gang rape and arson with "genocidal intent," an allegation the military has denied.

Southeast Asian countries should be cautious in negotiating with China on its flagship Belt and Road Initiative (BRI) to avoid being trapped in unsustainable debt, 70 per cent of respondents said in a policy survey released on Monday.

Southeast Asian countries should be cautious in negotiating with China on its flagship Belt and Road Initiative (BRI) to avoid being trapped in unsustainable debt, 70 per cent of respondents said in a policy survey released on Monday. Southeast Asia is increasingly sceptical of US commitment to the region as a strategic partner and a source of security, while China's reach is seen as growing both politically and economically, the study also showed. "The conventional wisdom that China holds sway in the economic realm while the United States wields its influence in the political-strategic domain will ... need to be revisited in light of the survey results," it said. The survey by the ISEAS-Yusof Ishak Institute, affiliated with the Singapore government, polled 1,008 respondents from all ten nations of the ASEAN grouping, drawn from government, academic and business communities, civil society and the media. Nearly half of the respondents said President Xi Jinping's hallmark Belt and Road initiative would bring ASEAN "closer into China's orbit," while a third said the project lacked transparency and 16 per cent predicted it would fail. A large majority, or 70 per cent, said their governments "should be cautious in negotiating BRI projects, to avoid getting into unsustainable financial debts with China," a view strongest in Malaysia, the Philippines, and Thailand. Some Western governments have accused China of pulling countries into a debt trap with the initiative, an accusation China has denied. China was seen by 73 per cent of the respondents as having the greatest economic influence in the region and was also believed to have more influence politically and strategically than the United States. Six out of ten respondents said US influence globally had deteriorated from a year ago and two-thirds believed US engagement with Southeast Asia declined. About a third said they had little or no confidence in the US as a strategic partner and provider of regional security. Fewer than one in 10 saw China as "a benign and benevolent power," with nearly a half saying Beijing possessed "an intent to turn Southeast Asia into its sphere of influence". The study's authors wrote, "This result ... is a wake-up call for China to burnish its negative image across Southeast Asia despite Beijing’s repeated assurance of its benign and peaceful rise." There was a call for the Association of Southeast Asian Nations (ASEAN) to play a more active role in Myanmar's Rohingya crisis, although a majority of the respondents sought mediation rather than diplomatic pressure. The United Nations says 730,000 Rohingya Muslims have fled from Myanmar's Rakhine State to Bangladesh since the military's crackdown on insurgent attacks. US-mandated investigators have accused Myanmar's military of carrying out killings, gang rape and arson with "genocidal intent," an allegation the military has denied.

Southeast Asia wary of China's Belt and Road project, sceptical of US: Report

China and the United States want to work together on trade, the Chinese foreign ministry said on Monday, as the world's two largest economies resumed talks in a bid to end their trade dispute.

US&nbsp;officials are meeting their counterparts in Beijing this week for the first face-to-face talks since US&nbsp;President Donald Trump and China's President Xi Jinping agreed in December agreed to a 90-day truce in a trade war that has roiled international markets.

Trump said on Sunday that trade talks with China were going very well and that weakness in the Chinese economy gave Beijing a reason to work toward a deal.

The two sides agreed to hold "positive and constructive" talks and dialogue to resolve economic and trade disputes in accordance with the consensus reached by the countries' leaders, Lu Kang, a spokesman at the foreign ministry, told reporters.

"From the beginning, we have believed that China-US&nbsp;trade friction is not a positive situation for either country or the world economy. China has a good faith, on the basis of mutual respect and equality, to resolve the bilateral trade frictions," Lu said.

Trump imposed import tariffs on hundreds of billions of dollars of Chinese goods last year and has threatened more to pressure Beijing to change its practices on issues ranging from industrial subsidies to intellectual property to hacking. China retaliated with tariffs of its own.

"As for whether the Chinese economy is good or not, I have already explained this. China's development has ample tenacity and huge potential," Lu said. "We have firm confidence in the strong long-term fundamentals of the Chinese economy."

China and the United States want to work together on trade, the Chinese foreign ministry said on Monday, as the world's two largest economies resumed talks in a bid to end their trade dispute.

China and the United States want to work together on trade, the Chinese foreign ministry said on Monday, as the world's two largest economies resumed talks in a bid to end their trade dispute. US officials are meeting their counterparts in Beijing this week for the first face-to-face talks since US President Donald Trump and China's President Xi Jinping agreed in December agreed to a 90-day truce in a trade war that has roiled international markets. Trump said on Sunday that trade talks with China were going very well and that weakness in the Chinese economy gave Beijing a reason to work toward a deal. The two sides agreed to hold "positive and constructive" talks and dialogue to resolve economic and trade disputes in accordance with the consensus reached by the countries' leaders, Lu Kang, a spokesman at the foreign ministry, told reporters. "From the beginning, we have believed that China-US trade friction is not a positive situation for either country or the world economy. China has a good faith, on the basis of mutual respect and equality, to resolve the bilateral trade frictions," Lu said. Trump imposed import tariffs on hundreds of billions of dollars of Chinese goods last year and has threatened more to pressure Beijing to change its practices on issues ranging from industrial subsidies to intellectual property to hacking. China retaliated with tariffs of its own. "As for whether the Chinese economy is good or not, I have already explained this. China's development has ample tenacity and huge potential," Lu said. "We have firm confidence in the strong long-term fundamentals of the Chinese economy."

Want to work together with US on trade: China foreign ministry

China's armed forces must strengthen their sense of urgency and do everything they can to prepare for battle, President Xi Jinping told a meeting of top brass on Friday.

China is keen to beef up its armed forces amid territorial disputes in the South China Sea and escalating tension with the United States over issues ranging from trade to the status of Taiwan.

The official Xinhua news agency said Xi told a meeting of the top military authority that China faced increasing risks and challenges, and the armed forces must work to secure its security and development needs.

Xi, who is also chairman of the Central Military Commission, said the armed forces must devise strategies for the new era and take on responsibilities for preparing and waging war.

"The world is facing a period of major changes never seen in a century, and China is still in an important period of strategic opportunity for development," he was quoted as saying.

He said the armed forces needed to be able to respond quickly to emergencies, needed to upgrade their joint operations capabilities and nurture new types of combat forces.

Xi's comments followed his remarks on Wednesday that China still reserved the right to use force to achieve "reunification" with Taiwan and prevent the island's independence.

Xi's Taiwan speech came just days after U.S. President Donald Trump signed the Asia Reassurance Initiative Act into law, reaffirming the U.S. commitment to the island's security.

China's armed forces must strengthen their sense of urgency and do everything they can to prepare for battle, President Xi Jinping told a meeting of top brass on Friday.

China's armed forces must strengthen their sense of urgency and do everything they can to prepare for battle, President Xi Jinping told a meeting of top brass on Friday. China is keen to beef up its armed forces amid territorial disputes in the South China Sea and escalating tension with the United States over issues ranging from trade to the status of Taiwan. The official Xinhua news agency said Xi told a meeting of the top military authority that China faced increasing risks and challenges, and the armed forces must work to secure its security and development needs. Xi, who is also chairman of the Central Military Commission, said the armed forces must devise strategies for the new era and take on responsibilities for preparing and waging war. "The world is facing a period of major changes never seen in a century, and China is still in an important period of strategic opportunity for development," he was quoted as saying. He said the armed forces needed to be able to respond quickly to emergencies, needed to upgrade their joint operations capabilities and nurture new types of combat forces. Xi's comments followed his remarks on Wednesday that China still reserved the right to use force to achieve "reunification" with Taiwan and prevent the island's independence. Xi's Taiwan speech came just days after U.S. President Donald Trump signed the Asia Reassurance Initiative Act into law, reaffirming the U.S. commitment to the island's security.

President Xi Jinping calls on Chinese Army to be battle-ready

Taiwan President Tsai Ing-wen called on Saturday for international support to defend the self-ruled island`s democracy and way of life in the face of renewed threats from China.&nbsp;

Tsai's comments came days after Chinese President Xi Jinping said nobody could change the fact that Taiwan was part of China, and that people on both sides of the Taiwan Strait should seek "reunification".

"We hope that the international community takes it seriously and can voice support and help us," Tsai told reporters in Taipei, referring to threats by China to use force to bring Taiwan under its control.

If the international community did not support a democratic country that was under threat, "we might have to ask which country might be next,?" Tsai added.

Taiwan is China's most sensitive issue and is claimed by Beijing as its sacred territory. Xi has stepped up pressure on the democratic island since Tsai from the pro-independence Democratic Progressive Party became president in 2016.

President Xi said on Wednesday that China reserves the right to use force to bring Taiwan under its control but will strive to achieve peaceful "reunification" with the island.&nbsp;

In response, Tsai has said the island would not accept a "one country, two systems" political arrangement with China while stressing all cross-Strait negotiations needed to be carried out on a government-to-government basis.&nbsp;

Tsai on Saturday also urged China to have a "correct understanding" of what Taiwanese think and said actions such as political bullying were unhelpful in cross-strait relations. 
&nbsp;

Tsai's comments came days after Chinese President Xi Jinping said nobody could change the fact that Taiwan was part of China, and that people on both sides of the Taiwan Strait should seek 'reunification'.

Taiwan President Tsai Ing-wen called on Saturday for international support to defend the self-ruled island`s democracy and way of life in the face of renewed threats from China. Tsai's comments came days after Chinese President Xi Jinping said nobody could change the fact that Taiwan was part of China, and that people on both sides of the Taiwan Strait should seek "reunification". "We hope that the international community takes it seriously and can voice support and help us," Tsai told reporters in Taipei, referring to threats by China to use force to bring Taiwan under its control. If the international community did not support a democratic country that was under threat, "we might have to ask which country might be next,?" Tsai added. Taiwan is China's most sensitive issue and is claimed by Beijing as its sacred territory. Xi has stepped up pressure on the democratic island since Tsai from the pro-independence Democratic Progressive Party became president in 2016. President Xi said on Wednesday that China reserves the right to use force to bring Taiwan under its control but will strive to achieve peaceful "reunification" with the island. In response, Tsai has said the island would not accept a "one country, two systems" political arrangement with China while stressing all cross-Strait negotiations needed to be carried out on a government-to-government basis. Tsai on Saturday also urged China to have a "correct understanding" of what Taiwanese think and said actions such as political bullying were unhelpful in cross-strait relations.

Taiwan president calls for international support to defend democracy

President Donald Trump said Friday he is confident Washington and Beijing will reach a deal to bring to a close the months-long trade dispute that has roiled global financial markets.

"I think we will make a deal with China," Trump said at the White House, and noted that talks are underway with China "at the highest levels."

With the Chinese economy slowing, "I really think they want to" reach an agreement, he told reporters. "I think they sort of have to."

A US delegation is due to travel to Beijing to hold negotiations Monday, but Trump said he and Chinese leader Xi Jinping already have been actively engaged in the talks.

"We have a massive trade negotiation going on with China. President Xi is very much involved, so am I. We're dealing at the highest levels and we're doing very well," he said.

Trump and Xi agreed to a three-month cease-fire after imposing steep tariffs on hundreds of billions of dollars in two-way trade, which has raised fears of slowing economic growth and added to investor jitters worldwide.

Trump repeated that the US has "taken in billions and billions of dollars in tariffs from China and from others," despite the fact import duties are increasing costs for American businesses and consumers.

The New York Federal Reserve bank said in an analysis Friday that "higher import tariffs had immediate impacts on US domestic prices," raising the consumer and producer prices by 0.3 percentage points higher than they would otherwise have been.

Deputy US Trade Representative Jeffrey Gerrish is due to lead the team to China for the first face-to-face discussions, which will include officials from the Treasury, Commerce and Agriculture departments as well.

The bruising trade war comes as China grapples with a slowing domestic economy. Growth is expected by the government to have eased to around 6.5 per cent in 2018, down from 6.9 per cent in 2017.

The manufacturing sectors in both countries have been hit by the trade dispute, and Apple shares dropped sharply after reporting steeper-than-expected "economic deceleration" in the last quarter in China -- one of its largest overseas markets.

Trump said he has urged Apple chief Tim Cook to "make your product in the United States" rather than China.

A US delegation is due to travel to Beijing to hold negotiations Monday, but Trump said he and Chinese leader Xi Jinping already have been actively engaged in the talks.

President Donald Trump said Friday he is confident Washington and Beijing will reach a deal to bring to a close the months-long trade dispute that has roiled global financial markets. "I think we will make a deal with China," Trump said at the White House, and noted that talks are underway with China "at the highest levels." With the Chinese economy slowing, "I really think they want to" reach an agreement, he told reporters. "I think they sort of have to." A US delegation is due to travel to Beijing to hold negotiations Monday, but Trump said he and Chinese leader Xi Jinping already have been actively engaged in the talks. "We have a massive trade negotiation going on with China. President Xi is very much involved, so am I. We're dealing at the highest levels and we're doing very well," he said. Trump and Xi agreed to a three-month cease-fire after imposing steep tariffs on hundreds of billions of dollars in two-way trade, which has raised fears of slowing economic growth and added to investor jitters worldwide. Trump repeated that the US has "taken in billions and billions of dollars in tariffs from China and from others," despite the fact import duties are increasing costs for American businesses and consumers. The New York Federal Reserve bank said in an analysis Friday that "higher import tariffs had immediate impacts on US domestic prices," raising the consumer and producer prices by 0.3 percentage points higher than they would otherwise have been. Deputy US Trade Representative Jeffrey Gerrish is due to lead the team to China for the first face-to-face discussions, which will include officials from the Treasury, Commerce and Agriculture departments as well. The bruising trade war comes as China grapples with a slowing domestic economy. Growth is expected by the government to have eased to around 6.5 per cent in 2018, down from 6.9 per cent in 2017. The manufacturing sectors in both countries have been hit by the trade dispute, and Apple shares dropped sharply after reporting steeper-than-expected "economic deceleration" in the last quarter in China -- one of its largest overseas markets. Trump said he has urged Apple chief Tim Cook to "make your product in the United States" rather than China.

Trump says confident in US trade deal with China

President Xi Jinping hailed China's "reconstructive reforms" in a New Year speech, but the sorely needed changes could be put on ice in favour of averting a potentially devastating economic downturn.

The way ahead is further complicated by a volatile trade dispute with the United States that -- if unresolved -- will add to the burden of Beijing’s policymakers as they seek to fuel an economy that is running out of steam.

Beijing has for years come under pressure to introduce much-needed reforms to the country's infrastructure and lumbering state-owned enterprises as part of a drive to tackle a burdensome debt mountain and transform its growth engine from investment and exports to domestic consumption.

But Gene Fang from rating agency Moody’s told AFP: "When trade-offs between reforms and growth arise, we expect that the priority will more often be given to supporting growth."

Ten years ago China unleashed the full power of its financial arsenal by introducing massive stimulus measures, which helped Beijing avert the worst of the financial crisis engulfing the rest of the world.

However, that helped sow the seeds of today's economic troubles, with debt at alarming levels and necessary economic reforms not addressed as leaders focused on maintaining stable growth and employment.

Now, with the global economy stuttering, a slowdown in key export markets is denting a crucial source of income while the country is also struggling with a plethora of structural problems such as ageing -- and now shrinking -- population, a dwindling pool of rural workers, overcapacity and air pollution.

'Debt mess'

And then there is the trade war with the United States, which has magnified the problems while sending shudders through global markets.

"The Chinese economy is struggling, the debt mess is unresolved and the impact from the US tariffs has barely begun," said Bill Bishop, an expert on China, who added the Communist Party will do "everything it can to juice the economy" with "multiple forms of stimuli".

"Whether or not significant economic reforms will now also be forthcoming, and not just more promises, is the trillion-dollar question," he said.

Xi and US President Donald Trump may have agreed on a temporary truce in their multi-billion-dollar stand-off -- and Beijing Friday announced face-to-face talks will begin next week -- but there is little optimism the row will be brought to an end any time soon.

In the absence of a breakthrough in current negotiations, "the US-China trade conflict will weigh on growth in China and on the wider Asia-Pacific region, via a slowdown in Chinese demand", according to analysts Oxford Economics.

The impact of the trade row came into full view this week when Apple announced a shock cut in its revenue forecast for the December quarter blaming the steeper-than-expected "economic deceleration" in China and emerging markets and citing the China-US frictions.

While analysts still believe China -- which last month celebrated 40 years since opening up to the world -- should still achieve its growth target of 6.5 per cent for 2018, that would be the weakest rate in almost three decades.&nbsp;

That after an average growth rate of 9.7 per cent a year between 1978 and 2015.

Long-term goal

Raymond Deng, an analyst at Singapore-based DBS Bank, said the government must raise domestic consumption and inject "sufficient" cash into the market, while "eliminating state-owned enterprises with backward production capacity".&nbsp;

But with a debt crisis brewing, authorities have decided against the 2008-like stimulus, instead opting for a series of separate measures including making it easier for banks to lend and much-hyped tax cuts.

Some sectors saw a one per cent drop in VAT and taxpayers will in 2019 benefit from deductions in education, critical healthcare and mortgage repayments, while the rate at which tax kicks in has also been raised.

"If the tax reduction plan is implemented well, it cannot only boost corporate profits and household consumption in the short term but also improve the economic structure in the long run," said Zhu Chaoping, a strategist at JPMorgan Asset Management.

Meanwhile, Beijing University economics professor Su Jian believes support for consumption requires a rise and a "better distribution" of household income, as well as increased health, education and social support to steer people away from precautionary saving.

He also points out that China's GDP per capita is about one-eighth of that of the United States.

"The development margin is still large... the GDP can still grow seven per cent for 20 years," he said.&nbsp;

However, for many economists, wealth generation could continue to weaken.&nbsp;

Zhu expected "a GDP increase of around five per cent across the next 10 to 15 years", while Capital Economics expected the growth rate to even decline to two per cent by 2030.

Ten years ago China unleashed the full power of its financial arsenal by introducing massive stimulus measures, which helped Beijing avert the worst of the financial crisis engulfing the rest of the world.

President Xi Jinping hailed China's "reconstructive reforms" in a New Year speech, but the sorely needed changes could be put on ice in favour of averting a potentially devastating economic downturn. The way ahead is further complicated by a volatile trade dispute with the United States that -- if unresolved -- will add to the burden of Beijing’s policymakers as they seek to fuel an economy that is running out of steam. Beijing has for years come under pressure to introduce much-needed reforms to the country's infrastructure and lumbering state-owned enterprises as part of a drive to tackle a burdensome debt mountain and transform its growth engine from investment and exports to domestic consumption. But Gene Fang from rating agency Moody’s told AFP: "When trade-offs between reforms and growth arise, we expect that the priority will more often be given to supporting growth." Ten years ago China unleashed the full power of its financial arsenal by introducing massive stimulus measures, which helped Beijing avert the worst of the financial crisis engulfing the rest of the world. However, that helped sow the seeds of today's economic troubles, with debt at alarming levels and necessary economic reforms not addressed as leaders focused on maintaining stable growth and employment. Now, with the global economy stuttering, a slowdown in key export markets is denting a crucial source of income while the country is also struggling with a plethora of structural problems such as ageing -- and now shrinking -- population, a dwindling pool of rural workers, overcapacity and air pollution. 'Debt mess' And then there is the trade war with the United States, which has magnified the problems while sending shudders through global markets. "The Chinese economy is struggling, the debt mess is unresolved and the impact from the US tariffs has barely begun," said Bill Bishop, an expert on China, who added the Communist Party will do "everything it can to juice the economy" with "multiple forms of stimuli". "Whether or not significant economic reforms will now also be forthcoming, and not just more promises, is the trillion-dollar question," he said. Xi and US President Donald Trump may have agreed on a temporary truce in their multi-billion-dollar stand-off -- and Beijing Friday announced face-to-face talks will begin next week -- but there is little optimism the row will be brought to an end any time soon. In the absence of a breakthrough in current negotiations, "the US-China trade conflict will weigh on growth in China and on the wider Asia-Pacific region, via a slowdown in Chinese demand", according to analysts Oxford Economics. The impact of the trade row came into full view this week when Apple announced a shock cut in its revenue forecast for the December quarter blaming the steeper-than-expected "economic deceleration" in China and emerging markets and citing the China-US frictions. While analysts still believe China -- which last month celebrated 40 years since opening up to the world -- should still achieve its growth target of 6.5 per cent for 2018, that would be the weakest rate in almost three decades. That after an average growth rate of 9.7 per cent a year between 1978 and 2015. Long-term goal Raymond Deng, an analyst at Singapore-based DBS Bank, said the government must raise domestic consumption and inject "sufficient" cash into the market, while "eliminating state-owned enterprises with backward production capacity". But with a debt crisis brewing, authorities have decided against the 2008-like stimulus, instead opting for a series of separate measures including making it easier for banks to lend and much-hyped tax cuts. Some sectors saw a one per cent drop in VAT and taxpayers will in 2019 benefit from deductions in education, critical healthcare and mortgage repayments, while the rate at which tax kicks in has also been raised. "If the tax reduction plan is implemented well, it cannot only boost corporate profits and household consumption in the short term but also improve the economic structure in the long run," said Zhu Chaoping, a strategist at JPMorgan Asset Management. Meanwhile, Beijing University economics professor Su Jian believes support for consumption requires a rise and a "better distribution" of household income, as well as increased health, education and social support to steer people away from precautionary saving. He also points out that China's GDP per capita is about one-eighth of that of the United States. "The development margin is still large... the GDP can still grow seven per cent for 20 years," he said. However, for many economists, wealth generation could continue to weaken. Zhu expected "a GDP increase of around five per cent across the next 10 to 15 years", while Capital Economics expected the growth rate to even decline to two per cent by 2030.

China could put reforms on hold to boost economy: Report

US issues warning against travel to China

In pictures: Taiwan-China relations since 1949

Taiwan independence would lead to "disaster", Chinese President Xi Jinping said on Wednesday, pledging efforts for peaceful "reunification" with the self-ruled island but warning China would not renounce the use of force.

Speaking at Beijing's Great Hall of the People on the 40th anniversary of a key Taiwan policy statement, Xi said reunification must come under a one-China principle that accepts Taiwan as part of China, anathema to supporters of Taiwan independence.

All people in Taiwan must "clearly recognise that Taiwan independence would only bring profound disaster to Taiwan", Xi said.

"We are willing to create broad space for peaceful reunification, but will leave no room for any form of separatist activities," he said.

"We make no promise to renounce the use of force and reserve the option of taking all necessary means," he said, adding that the issue is China's internal affair and that it would permit "no external interference".

Chinese Nationalist forces fled to Taiwan in December of 1949 after losing a civil war to the Communists.

While today the two sides have close business, cultural and personal links, proudly democratic Taiwan has shown no interest in being ruled by autocratic Beijing.

&nbsp;

Taiwan independence would lead to "disaster", Chinese President Xi Jinping said on Wednesday, pledging efforts for peaceful "reunification" with the self-ruled island but warning China would not renounce the use of force.

Taiwan independence would lead to "disaster", Chinese President Xi Jinping said on Wednesday, pledging efforts for peaceful "reunification" with the self-ruled island but warning China would not renounce the use of force. Speaking at Beijing's Great Hall of the People on the 40th anniversary of a key Taiwan policy statement, Xi said reunification must come under a one-China principle that accepts Taiwan as part of China, anathema to supporters of Taiwan independence. All people in Taiwan must "clearly recognise that Taiwan independence would only bring profound disaster to Taiwan", Xi said. "We are willing to create broad space for peaceful reunification, but will leave no room for any form of separatist activities," he said. "We make no promise to renounce the use of force and reserve the option of taking all necessary means," he said, adding that the issue is China's internal affair and that it would permit "no external interference". Chinese Nationalist forces fled to Taiwan in December of 1949 after losing a civil war to the Communists. While today the two sides have close business, cultural and personal links, proudly democratic Taiwan has shown no interest in being ruled by autocratic Beijing.

China's Xi says Taiwan independence would be disaster, calls for peaceful 'reunification'

History shows that cooperation is the best choice for both China and the United States, Chinese President Xi Jinping told US&nbsp;President Donald Trump in a congratulatory message on Tuesday to mark 40 years since the establishment of diplomatic relations.

The two countries agreed last month to a 90-day temporary ceasefire in their bitter trade war to give them time to hold fresh talks to try and end a dispute that has seen them level increasingly severe tariffs on each others' goods.

In his message to Trump, Xi said China-US&nbsp;relations have experienced ups and downs but have made historic progress over the past four decades, state news agency Xinhua said.

This has brought huge benefits to the two peoples and has contributed greatly to world peace, stability and prosperity, Xi added.

"History has proved that cooperation is the best choice for both sides," Xi said.

Sino-US&nbsp;relations are in an important stage, he added.

"I attach great importance to the development of China-US&nbsp;relations and am willing to work with President Trump to summarise the experience of the development of China-US&nbsp;relations and implement the consensus we have reached in a joint effort to advance China-US&nbsp;relations featuring coordination, cooperation and stability so as to better benefit the two peoples as well as the people of the rest of the world," he said.

Trump sent his own congratulatory message in return, saying it was his priority to promote cooperative and constructive US-China relations, Xinhua added.

Xi and Trump also spoke by telephone over the weekend. Trump said he had a "long and very good call" with Xi and that a possible trade deal between the United States and China was progressing well.

China and the United States have made plans for face-to-face consultations over trade in January, China's Commerce Ministry said last week.

Xinhua, in a commentary, said it was only natural the two countries would have disagreements and encounter problems, considering their "different social systems, development paths and historical and cultural backgrounds".

"At a time when the world is undergoing unprecedentedly profound changes and is fraught with risks and uncertainties, the global community expects even closer collaboration between the two largest economies," it said.

This year marks a series of sensitive anniversaries for China, including, in June, 30 years since the bloody crackdown on pro-democracy demonstrators in and around Beijing's Tiananmen Square.

On Wednesday, Xi will make his first public appearance at an anniversary-related event, giving a speech about self-ruled Taiwan, which China claims as its sacred territory, on the 40th anniversary of a key policy statement that led to a thaw in relations with the island. 
&nbsp;

History shows that cooperation is the best choice for both China and the United States, Chinese President Xi Jinping told US President Donald Trump in a congratulatory message on Tuesday to mark 40 years since the establishment of diplomatic relations.

History shows that cooperation is the best choice for both China and the United States, Chinese President Xi Jinping told US President Donald Trump in a congratulatory message on Tuesday to mark 40 years since the establishment of diplomatic relations. The two countries agreed last month to a 90-day temporary ceasefire in their bitter trade war to give them time to hold fresh talks to try and end a dispute that has seen them level increasingly severe tariffs on each others' goods. In his message to Trump, Xi said China-US relations have experienced ups and downs but have made historic progress over the past four decades, state news agency Xinhua said. This has brought huge benefits to the two peoples and has contributed greatly to world peace, stability and prosperity, Xi added. "History has proved that cooperation is the best choice for both sides," Xi said. Sino-US relations are in an important stage, he added. "I attach great importance to the development of China-US relations and am willing to work with President Trump to summarise the experience of the development of China-US relations and implement the consensus we have reached in a joint effort to advance China-US relations featuring coordination, cooperation and stability so as to better benefit the two peoples as well as the people of the rest of the world," he said. Trump sent his own congratulatory message in return, saying it was his priority to promote cooperative and constructive US-China relations, Xinhua added. Xi and Trump also spoke by telephone over the weekend. Trump said he had a "long and very good call" with Xi and that a possible trade deal between the United States and China was progressing well. China and the United States have made plans for face-to-face consultations over trade in January, China's Commerce Ministry said last week. Xinhua, in a commentary, said it was only natural the two countries would have disagreements and encounter problems, considering their "different social systems, development paths and historical and cultural backgrounds". "At a time when the world is undergoing unprecedentedly profound changes and is fraught with risks and uncertainties, the global community expects even closer collaboration between the two largest economies," it said. This year marks a series of sensitive anniversaries for China, including, in June, 30 years since the bloody crackdown on pro-democracy demonstrators in and around Beijing's Tiananmen Square. On Wednesday, Xi will make his first public appearance at an anniversary-related event, giving a speech about self-ruled Taiwan, which China claims as its sacred territory, on the 40th anniversary of a key policy statement that led to a thaw in relations with the island.

Cooperation best for both China and US, Xi tells Trump

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