North Korean leader <a href="http://www.wionews.com/world/north-koreas-kim-sets-off-by-train-to-vietnam-for-summit-with-trump-report-199156">Kim Jong Un</a> angered historically Beijing in the past with his weapons tests, but relations have since improved, showing China remains a key diplomatic player as he cosies up to Donald Trump.

<a href="http://www.wionews.com/world/trump-and-kim-to-have-one-one-one-meeting-at-vietnam-summit-198849">Trump and Kim are due to meet in Hanoi </a>from February 27-28 -- their second face-to-face since a summit in Singapore in June that produced a vaguely worded agreement on denuclearisation.

Also read:<a href="http://www.wionews.com/world/i-dont-want-my-children-to-bear-burden-of-nuclear-arms-says-north-koreas-kim-jong-un-199161"> I don't want my children to bear </a><a href="http://www.wionews.com/world/i-dont-want-my-children-to-bear-burden-of-nuclear-arms-says-north-koreas-kim-jong-un-199161">burden</a><a href="http://www.wionews.com/world/i-dont-want-my-children-to-bear-burden-of-nuclear-arms-says-north-koreas-kim-jong-un-199161"> of nuclear arms, says North Korea's Kim Jong-un</a>

Here is a look at how China continues to make its presence felt as the summit approaches.

Why did the Cold War allies have a falling out?

<a href="http://www.wionews.com/photos/in-pics%3A-china-provides-top-security-to-north-korean-leader-kim-jong-un-145914">China has supported the Kim dynasty</a> since the Korean War, but Pyongyang's nuclear programme has threatened Beijing's desire for stability in the region and strained the relationship between the Cold War allies.&nbsp;

Ties dropped to a low point in 2017 following a series of nuclear and ballistic missile tests, with China backing a raft of UN sanctions, including bans on North Korean exports of coal, iron and seafood.

"Previously China saw North Korea as a useful buffer against the US," said Zhao Tong, a nuclear policy expert at the Carnegie-Tsinghua Center for Global Policy in Beijing.

But Pyongyang's weapons testing has created headaches for Beijing, "and China felt North Korea was increasingly becoming a liability rather than an asset," he added. &nbsp;

Why have relations improved?

A turning point came when <a href="http://www.wionews.com/world/north-koreas-kim-jong-un-ends-beijing-visit-as-trump-summit-looms-189192">Kim travelled to Beijing to meet with President Xi Jinping </a>last year -- the young leader's first foreign trip since he came to power.

Since then, the leaders have met three more times in China, though Xi has yet to act on invitations to visit North Korea.

A closer relationship with Beijing gives Pyongyang leverage over the US, analysts say. As North Korea's main trading partner and sole major ally, China's economic support and diplomatic backing are also crucial to Pyongyang in case talks with the US fall through.

"Kim may be working to play China and the United States off of each other -- in making frequent visits to Beijing, Kim is signalling to the Trump administration that he has other options," said Emily Weinstein, a research analyst at Pointe Bello.

Also read: <a href="http://www.wionews.com/world/opinion-the-china-north-korea-unholy-nexus-28306">The China-North Korea unholy nexus</a>

But the improved ties should not be exaggerated, said Bonnie Glaser, a senior adviser at the Center for Strategic and International Studies.

"I believe that Kim recognises that he must show some deference to China, but he seeks to reduce his country's dependence on China and diversify its options," she said.

Is China worried about Trump and Kim's bromance?

Despite the frequent meetings, there appears to be little love lost between the Asian leaders.

Former US ambassador to China Max Baucus told the BBC in 2017 that Xi "does not like that man (Kim) at all", and analysts say their relationship is strategic rather than one based on trust.

In contrast, Kim and Trump have shifted from trading vicious personal attacks to a budding bromance, with the US president saying they "fell in love" upon exchanging a series of letters following their meeting in Singapore.

Personal chemistry aside, the prospect of closer ties between Washington and Pyongyang is worrying for Beijing, which wants to keep Pyongyang out of America's sphere of influence but also wants denuclearisation, analysts say.

"Beijing fears a fundamental shift that would result in the US having a better relationship with North Korea than China has," said Glaser, adding that this is an unlikely outcome in the near term.

"A Trump-Kim deal in which the US and North Korea keep talking and there is incremental progress toward the goal of denuclearisation is beneficial for China."

How has China kept its influence over North Korea?

China's influence is palpable as the summit approaches, with Kim making another trip to Beijing last month -- seen by analysts as a meeting to coordinate strategy with Xi.

Kim could meet with Xi again before the summit, as his train reportedly crossed into China late Saturday.&nbsp;

Though his presence on board the train was not confirmed, a long train ride across his giant neighbour to reach Vietnam is another symbol of China's unavoidable role in the diplomatic shuffle.&nbsp;

Beijing lent Kim a plane to travel to Singapore in June.

China called for easing sanctions on Pyongyang in September, undercutting the US attempts to exert international pressure on Pyongyang to give up its weapons program.

"China has resumed some of the economic and trading relationships with North Korea and that has been very helpful for North Korea to survive under the very harsh international maximum pressure campaign led by the United States," said Zhao.

North Korean leader Kim Jong Un angered historically Beijing in the past with his weapons tests, but relations have since improved, showing China remains a key diplomatic player as he cosies up to Donald Trump.

North Korean leader Kim Jong Un angered historically Beijing in the past with his weapons tests, but relations have since improved, showing China remains a key diplomatic player as he cosies up to Donald Trump. Trump and Kim are due to meet in Hanoi from February 27-28 -- their second face-to-face since a summit in Singapore in June that produced a vaguely worded agreement on denuclearisation. Also read: I don't want my children to bear burden of nuclear arms, says North Korea's Kim Jong-un Here is a look at how China continues to make its presence felt as the summit approaches. Why did the Cold War allies have a falling out? China has supported the Kim dynasty since the Korean War, but Pyongyang's nuclear programme has threatened Beijing's desire for stability in the region and strained the relationship between the Cold War allies. Ties dropped to a low point in 2017 following a series of nuclear and ballistic missile tests, with China backing a raft of UN sanctions, including bans on North Korean exports of coal, iron and seafood. "Previously China saw North Korea as a useful buffer against the US," said Zhao Tong, a nuclear policy expert at the Carnegie-Tsinghua Center for Global Policy in Beijing. But Pyongyang's weapons testing has created headaches for Beijing, "and China felt North Korea was increasingly becoming a liability rather than an asset," he added. Why have relations improved? A turning point came when Kim travelled to Beijing to meet with President Xi Jinping last year -- the young leader's first foreign trip since he came to power. Since then, the leaders have met three more times in China, though Xi has yet to act on invitations to visit North Korea. A closer relationship with Beijing gives Pyongyang leverage over the US, analysts say. As North Korea's main trading partner and sole major ally, China's economic support and diplomatic backing are also crucial to Pyongyang in case talks with the US fall through. "Kim may be working to play China and the United States off of each other -- in making frequent visits to Beijing, Kim is signalling to the Trump administration that he has other options," said Emily Weinstein, a research analyst at Pointe Bello. Also read: The China-North Korea unholy nexus But the improved ties should not be exaggerated, said Bonnie Glaser, a senior adviser at the Center for Strategic and International Studies. "I believe that Kim recognises that he must show some deference to China, but he seeks to reduce his country's dependence on China and diversify its options," she said. Is China worried about Trump and Kim's bromance? Despite the frequent meetings, there appears to be little love lost between the Asian leaders. Former US ambassador to China Max Baucus told the BBC in 2017 that Xi "does not like that man (Kim) at all", and analysts say their relationship is strategic rather than one based on trust. In contrast, Kim and Trump have shifted from trading vicious personal attacks to a budding bromance, with the US president saying they "fell in love" upon exchanging a series of letters following their meeting in Singapore. Personal chemistry aside, the prospect of closer ties between Washington and Pyongyang is worrying for Beijing, which wants to keep Pyongyang out of America's sphere of influence but also wants denuclearisation, analysts say. "Beijing fears a fundamental shift that would result in the US having a better relationship with North Korea than China has," said Glaser, adding that this is an unlikely outcome in the near term. "A Trump-Kim deal in which the US and North Korea keep talking and there is incremental progress toward the goal of denuclearisation is beneficial for China." How has China kept its influence over North Korea? China's influence is palpable as the summit approaches, with Kim making another trip to Beijing last month -- seen by analysts as a meeting to coordinate strategy with Xi. Kim could meet with Xi again before the summit, as his train reportedly crossed into China late Saturday. Though his presence on board the train was not confirmed, a long train ride across his giant neighbour to reach Vietnam is another symbol of China's unavoidable role in the diplomatic shuffle. Beijing lent Kim a plane to travel to Singapore in June. China called for easing sanctions on Pyongyang in September, undercutting the US attempts to exert international pressure on Pyongyang to give up its weapons program. "China has resumed some of the economic and trading relationships with North Korea and that has been very helpful for North Korea to survive under the very harsh international maximum pressure campaign led by the United States," said Zhao.

Why China remains key player as US, North Korea meet

President Donald Trump is due to meet Friday afternoon with China's top trade negotiator, as talks continue to try to defuse the escalation of the tariff war between the world's economic superpowers.

Global stock markets were higher as the two sides continued to project optimism, with Trump's personal involvement a likely signal of the White House's confidence in a successful outcome.

Also read: <a href="http://www.wionews.com/opinions/us-china-trade-talks-free-trade-must-not-be-derailed-198923">US-China trade talks, free trade must not be derailed</a>

Just a week remains to avoid a sharp increase in US duty rates on more than $200 billion in Chinese exports -- though Trump has suggested he could extend this deadline if needed.

The fourth round of talks has been underway all week, with senior officials meeting as of Thursday. The White House said Trump would meet with China's Vice Premier Liu He, who is leading the delegation from Beijing.&nbsp;

China's President Xi Jinping also met with US negotiators last week in Beijing, a sign the two leaders are closely following the high-stakes talks.

Analysts say the two sides are likely to trumpet mutual agreements to resolve the easier parts of the trade dispute -- increasing Chinese purchases of American exports, more open investment in China and tougher protections for intellectual property and companies' proprietary technology.

The harder parts -- structural changes to China's economy including an end to Beijing's massive intervention in markets and scaling back its ambitious industrial strategy for global preeminence -- are another question.

William Reinsch, a former senior Treasury official for trade in the administration of President Bill Clinton, told AFP it was unclear if Trump would seek to force Beijing to make such deep concessions.

'Combined impacts'

"Will he hold out for the whole loaf? I don't think anybody knows whether he'll do that. I don’t know if he knows," said Reinsch.

A risk for Trump, said Reinsch, is whether any agreement holds and the Chinese honour their commitments.

"If it unravels and we have a string of unmet commitments and then US retaliation right before the election, we're kind of right back where we started," he said.

US Trade Representative Robert Lighthizer is leading the US negotiating team, which also includes Treasury Secretary Steven Mnuchin and Commerce Secretary Wilbur Ross.

In a sign of how high the stakes could be, Christine Lagarde, head of the International Monetary Fund, called the US-China trade tensions a "major risk" to global economic growth.

Since July, the countries have hit out with tariffs on more than $360 billion in two-way trade.

By themselves, Lagarde told the US radio broadcast Marketplace, the tariffs are having "minimal" effect on global trade but they are also damaging business confidence and weighing on stock markets.

"So the combined three impacts -- trade, markets, confidence -- actually reduce global growth and certainly explain our downside projection," Lagarde said, referring to the IMF's recent cuts to global growth forecasts.

The two sides are working towards memorandums of understanding to formalize their commitments ahead of a possible meeting between Trump and Xi.

"The big surprise would be a complete removal of tariffs by Trump but I’m expecting an asymmetrical removal of tariffs by China in order to get to some of these numbers," said Gary Clyde Hufbauer, a trade expert at the Peterson Institute for International Economics.

China may have to remove its tariffs in order to increase purchases of US exports while Trump may feel no pressing obligation to lower the tariffs he imposed on Chinese imports last year, he said.

Global stock markets have been battered since last year through the ups and downs of the trade war but have tended to react positively to signs relations at least will not deteriorate further.

Word of progress had Wall Street in a cheerful mood, with the benchmark Dow Jones Industrial Average up 0.6 per cent at 1600 GMT.

President Donald Trump is due to meet Friday afternoon with China's top trade negotiator, as talks continue to try to defuse the escalation of the tariff war between the world's economic superpowers.

President Donald Trump is due to meet Friday afternoon with China's top trade negotiator, as talks continue to try to defuse the escalation of the tariff war between the world's economic superpowers. Global stock markets were higher as the two sides continued to project optimism, with Trump's personal involvement a likely signal of the White House's confidence in a successful outcome. Also read: US-China trade talks, free trade must not be derailed Just a week remains to avoid a sharp increase in US duty rates on more than $200 billion in Chinese exports -- though Trump has suggested he could extend this deadline if needed. The fourth round of talks has been underway all week, with senior officials meeting as of Thursday. The White House said Trump would meet with China's Vice Premier Liu He, who is leading the delegation from Beijing. China's President Xi Jinping also met with US negotiators last week in Beijing, a sign the two leaders are closely following the high-stakes talks. Analysts say the two sides are likely to trumpet mutual agreements to resolve the easier parts of the trade dispute -- increasing Chinese purchases of American exports, more open investment in China and tougher protections for intellectual property and companies' proprietary technology. The harder parts -- structural changes to China's economy including an end to Beijing's massive intervention in markets and scaling back its ambitious industrial strategy for global preeminence -- are another question. William Reinsch, a former senior Treasury official for trade in the administration of President Bill Clinton, told AFP it was unclear if Trump would seek to force Beijing to make such deep concessions. 'Combined impacts' "Will he hold out for the whole loaf? I don't think anybody knows whether he'll do that. I don’t know if he knows," said Reinsch. A risk for Trump, said Reinsch, is whether any agreement holds and the Chinese honour their commitments. "If it unravels and we have a string of unmet commitments and then US retaliation right before the election, we're kind of right back where we started," he said. US Trade Representative Robert Lighthizer is leading the US negotiating team, which also includes Treasury Secretary Steven Mnuchin and Commerce Secretary Wilbur Ross. In a sign of how high the stakes could be, Christine Lagarde, head of the International Monetary Fund, called the US-China trade tensions a "major risk" to global economic growth. Since July, the countries have hit out with tariffs on more than $360 billion in two-way trade. By themselves, Lagarde told the US radio broadcast Marketplace, the tariffs are having "minimal" effect on global trade but they are also damaging business confidence and weighing on stock markets. "So the combined three impacts -- trade, markets, confidence -- actually reduce global growth and certainly explain our downside projection," Lagarde said, referring to the IMF's recent cuts to global growth forecasts. The two sides are working towards memorandums of understanding to formalize their commitments ahead of a possible meeting between Trump and Xi. "The big surprise would be a complete removal of tariffs by Trump but I’m expecting an asymmetrical removal of tariffs by China in order to get to some of these numbers," said Gary Clyde Hufbauer, a trade expert at the Peterson Institute for International Economics. China may have to remove its tariffs in order to increase purchases of US exports while Trump may feel no pressing obligation to lower the tariffs he imposed on Chinese imports last year, he said. Global stock markets have been battered since last year through the ups and downs of the trade war but have tended to react positively to signs relations at least will not deteriorate further. Word of progress had Wall Street in a cheerful mood, with the benchmark Dow Jones Industrial Average up 0.6 per cent at 1600 GMT.

Trump to meet China's top trade negotiator as deadline presses

Saudi Crown Prince Mohammed bin Salman cemented a $10 billion deal for a refining and petrochemical complex in China on Friday, meeting Chinese President Xi Jinping who urged joint efforts to counter extremism and terror.

The Saudi delegation, including top executives from state-owned oil company Saudi Aramco, arrived on Thursday on an Asia tour that has already seen the kingdom pledge investment of $20 billion in Pakistan and seek to make additional investments in India's refining industry.

"China is a good friend and partner to Saudi Arabia," President Xi Jinping told the crown prince in front of reporters.

"The special nature of our bilateral relationship reflects the efforts you have made," added Xi, who has made stepping up China's presence in the Middle East a key foreign policy objective, despite its traditional low-key role there.

The crown prince said Saudi Arabia's relations with China dated back "a very long time in the past".

"In the hundreds, even thousands, of years, the interactions between the sides have been friendly. Over such a long period of exchanges with China, we have never experienced any problems with China," he said.

China has had to step carefully in relations with Riyadh, since Beijing also has close ties with Saudi Arabia's regional foe, Iran.

China is also wary of criticism from Muslim countries about its camps in the heavily Muslim far western region of Xinjiang, which the government says are for de-radicalisation purposes and rights groups call internment camps.

Xi told the crown prince the two countries must strengthen international cooperation on de-radicalisation to "prevent the infiltration and spread of extremist thinking", Chinese state television said.

Saudi Arabia respected and supported China's right to protect its own security and take counter-terror and de-radicalisation steps, the crown prince told Xi, according to the same report, and was willing to increase cooperation.

Meeting the crown prince earlier on Friday, Chinese Vice Premier Han Zheng said the two countries should enhance exchanges on their experiences in de-radicalisation, China's official Xinhua news agency said in a separate report.

Chinese state media made no direct mention of Xinjiang in their stories on the crown prince's meetings.

Deals signed

Aramco agreed to form a joint venture with Chinese defence conglomerate Norinco to develop a refining and petrochemical complex in the northeastern Chinese city of Panjin, saying the project was worth more than $10 billion.

The partners would form a company called Huajin Aramco Petrochemical Co as part of a project that would include a 300,000-barrels-per-day (bpd) refinery with a 1.5-million-metric-tonnes-per-year ethylene cracker, Aramco said.

Aramco will supply up to 70 percent of the crude feedstock for the complex, which is expected to start operations in 2024.

The investments could help Saudi Arabia regain its place as the top oil exporter to China, a position Russia has held for the last three years. Saudi Aramco is set to boost market share by signing supply deals with non-state Chinese refiners.

Aramco also signed an agreement to buy a 9 percent stake in Zhejiang Petrochemical, Saudi state news agency SPA said. This formalised a previously announced plan to gain a stake in a 400,000-bpd refinery and petrochemicals complex in Zhoushan, south of Shanghai.

China sees "enormous potential" in Saudi Arabia's economy and wants more high-tech cooperation, State Councillor Wang Yi, the Chinese government's top diplomat, said on Thursday.

But China was not seeking to play politics in the Middle East, the widely read state-run tabloid, the Global Times, said in an editorial.

"China won't be a geopolitical player in the Middle East. It has no enemies and can cooperate with all countries in the region," said the paper, published by the ruling Communist Party's official People's Daily.

"China's increasing influence in the Middle East comes from pure friendly cooperation. Such a partnership will be welcomed by more countries in the Middle East."

Saudi Crown Prince Mohammed bin Salman cemented a $10 billion deal for a refining and petrochemical complex in China on Friday, meeting Chinese President Xi Jinping who urged joint efforts to counter extremism and terror.

Saudi Crown Prince Mohammed bin Salman cemented a $10 billion deal for a refining and petrochemical complex in China on Friday, meeting Chinese President Xi Jinping who urged joint efforts to counter extremism and terror. The Saudi delegation, including top executives from state-owned oil company Saudi Aramco, arrived on Thursday on an Asia tour that has already seen the kingdom pledge investment of $20 billion in Pakistan and seek to make additional investments in India's refining industry. "China is a good friend and partner to Saudi Arabia," President Xi Jinping told the crown prince in front of reporters. "The special nature of our bilateral relationship reflects the efforts you have made," added Xi, who has made stepping up China's presence in the Middle East a key foreign policy objective, despite its traditional low-key role there. The crown prince said Saudi Arabia's relations with China dated back "a very long time in the past". "In the hundreds, even thousands, of years, the interactions between the sides have been friendly. Over such a long period of exchanges with China, we have never experienced any problems with China," he said. China has had to step carefully in relations with Riyadh, since Beijing also has close ties with Saudi Arabia's regional foe, Iran. China is also wary of criticism from Muslim countries about its camps in the heavily Muslim far western region of Xinjiang, which the government says are for de-radicalisation purposes and rights groups call internment camps. Xi told the crown prince the two countries must strengthen international cooperation on de-radicalisation to "prevent the infiltration and spread of extremist thinking", Chinese state television said. Saudi Arabia respected and supported China's right to protect its own security and take counter-terror and de-radicalisation steps, the crown prince told Xi, according to the same report, and was willing to increase cooperation. Meeting the crown prince earlier on Friday, Chinese Vice Premier Han Zheng said the two countries should enhance exchanges on their experiences in de-radicalisation, China's official Xinhua news agency said in a separate report. Chinese state media made no direct mention of Xinjiang in their stories on the crown prince's meetings. Deals signed Aramco agreed to form a joint venture with Chinese defence conglomerate Norinco to develop a refining and petrochemical complex in the northeastern Chinese city of Panjin, saying the project was worth more than $10 billion. The partners would form a company called Huajin Aramco Petrochemical Co as part of a project that would include a 300,000-barrels-per-day (bpd) refinery with a 1.5-million-metric-tonnes-per-year ethylene cracker, Aramco said. Aramco will supply up to 70 percent of the crude feedstock for the complex, which is expected to start operations in 2024. The investments could help Saudi Arabia regain its place as the top oil exporter to China, a position Russia has held for the last three years. Saudi Aramco is set to boost market share by signing supply deals with non-state Chinese refiners. Aramco also signed an agreement to buy a 9 percent stake in Zhejiang Petrochemical, Saudi state news agency SPA said. This formalised a previously announced plan to gain a stake in a 400,000-bpd refinery and petrochemicals complex in Zhoushan, south of Shanghai. China sees "enormous potential" in Saudi Arabia's economy and wants more high-tech cooperation, State Councillor Wang Yi, the Chinese government's top diplomat, said on Thursday. But China was not seeking to play politics in the Middle East, the widely read state-run tabloid, the Global Times, said in an editorial. "China won't be a geopolitical player in the Middle East. It has no enemies and can cooperate with all countries in the region," said the paper, published by the ruling Communist Party's official People's Daily. "China's increasing influence in the Middle East comes from pure friendly cooperation. Such a partnership will be welcomed by more countries in the Middle East."

Saudi Arabia strikes $10 billion China deal, talks de-radicalisation with President Xi Jinping

China said Friday it was against forcefully sending "so-called humanitarian assistance" to Venezuela, warning it could spark conflict in the crisis-torn country.

China has loaned billions to Venezuela and has remained committed to President Nicolas Maduro even as the country has fallen deeper into economic crisis.

Foreign aid mostly from the US has piled up on Venezuela's borders as the Maduro government refuses to let it into the country.&nbsp;

"If the so-called humanitarian assistance were forcefully sent to Venezuela it might trigger conflict and lead to serious consequences," said China's foreign ministry spokesman Geng Shuang.

"This is not what anyone wants to see," Geng said.

"China is against military intervention in Venezuela and against any behaviour that might cause escalation or turmoil," he told reporters.&nbsp;

Opposition leader and self-declared interim president Juan Guaido have vowed to bring aid in from various points Saturday "one way or another" despite military efforts to block it.

Shipments of food and medicine for Venezuelans suffering in the country's economic crisis have become a focus of the power struggle between Maduro and Guaido.

"We have noticed recently the Venezuelan government has been level-headed and exercised restraint to safeguard domestic peace and stability and effectively prevented large-scale conflict," Geng said.

Venezuela's military said it is on alert at its frontiers and has closed border crossings and suspended air and sea links with the nearby island of Curacao ahead of the expected aid shipment.

The White House said Vice President Mike Pence would visit neighbouring Colombia on Monday in a show of support for Guaido.&nbsp;

The US has repeatedly said "all options," including military, are on the table.

China said Friday it was against forcefully sending "so-called humanitarian assistance" to Venezuela, warning it could spark conflict in the crisis-torn country.

China said Friday it was against forcefully sending "so-called humanitarian assistance" to Venezuela, warning it could spark conflict in the crisis-torn country. China has loaned billions to Venezuela and has remained committed to President Nicolas Maduro even as the country has fallen deeper into economic crisis. Foreign aid mostly from the US has piled up on Venezuela's borders as the Maduro government refuses to let it into the country. "If the so-called humanitarian assistance were forcefully sent to Venezuela it might trigger conflict and lead to serious consequences," said China's foreign ministry spokesman Geng Shuang. "This is not what anyone wants to see," Geng said. "China is against military intervention in Venezuela and against any behaviour that might cause escalation or turmoil," he told reporters. Opposition leader and self-declared interim president Juan Guaido have vowed to bring aid in from various points Saturday "one way or another" despite military efforts to block it. Shipments of food and medicine for Venezuelans suffering in the country's economic crisis have become a focus of the power struggle between Maduro and Guaido. "We have noticed recently the Venezuelan government has been level-headed and exercised restraint to safeguard domestic peace and stability and effectively prevented large-scale conflict," Geng said. Venezuela's military said it is on alert at its frontiers and has closed border crossings and suspended air and sea links with the nearby island of Curacao ahead of the expected aid shipment. The White House said Vice President Mike Pence would visit neighbouring Colombia on Monday in a show of support for Guaido. The US has repeatedly said "all options," including military, are on the table.

China against forcefully sending aid to Venezuela: Foreign ministry

While there is no such thing as “free trade”, but freer trade, which gained impetus after the second world war has not only raised world output, among other things but raised, also lifted millions out of poverty. Underpinned and promoted by an institutional firmament, especially the World Trade Organisation (WTO), whose precursor was the General Agreement on Trade and Tariffs (GATT),&nbsp;and what has been termed as the “liberal world order”, the freer trade paradigm is under serious threat. This holds despite US president Donald Trump’s assurances that trade talks between the United States and China were going on well and the March 1 deadline for tariffs might be extended.

The backdrop to the threat to freer trade is a mélange of the 2008 financial crisis, the assumption of Donald Trump to the highest office in the United States, with the concomitant rise of protectionism and mercantilism, or in other words, the primacy of the nation-state over a more open trading and even world order. The paradox here is that the United States, which led and pioneered the liberal economic and political world order and whose support for it was essential, benefited from an open economic order but is now retreating from it. The reasons pertain not to economics but to political economy.

While broad benefits accrue from freer trade, but it has both distributional and other economic consequences in terms of both “winners” and “losers”. This has been poignant in the United States where the distributional consequences of freer trade were acutely and intensely felt by those left behind by the gale of trade. The base brought Trump to power who, in his campaign pledges, promised to unwind the trade bargains and pacts and “make America great again(MAGA). In lieu of his pledges, Trump picked a trade fight with China and also attempted to rejigg trade between the United States, Canada and Mexico. The result has been a disruption that might feel good to some, but throws a spanner into the works of freer trade.

This insalubrious development is not only ominous but potentially threatens to roll back the stupendous gains made so far throwing into jeopardy human welfare. The question is: can freer trade be salvaged?&nbsp;

Yes. It can and it will perhaps gyrate to a dynamic of its own.&nbsp;

The reasons accrue from the nature of the 21st-century economy which is both a knowledge and a “gig” economy and the widgets, nuts and bolts one too. Trump’s focus till now has been the relocation of manufacturing to the United States. But, the country’s economy and even the global economy in which it is enmeshed has moved on. Profound and staggering developments in the Information, Communications and Technologies (ICTs), automation, robotics and Artificial Intelligence(AI) mean that the name of the game is different, especially in the developed world. This is not to demean the nuts and bolts economy which is and will remain relevant but it will be a complement to changes elsewhere. It is here that the United States, the world’s largest economy, must focus on instead of adopting a protectionist mercantilist paradigm.&nbsp;

The nature of this approach should be to reorient the country’s educational institutions and skill development in tune with the demands and the needs of the 21st century. A political price might have to made here but from a long duree perspective, it is the adoption of this particular approach that would be more sustainable and yield rewards both to the United States and the world, at large.

But, importantly, an important structural complement to the suggested paradigm, should be the creation of safety nets for those who are likely to be left behind by what is a veritable gale of “creative destruction” in the offing. 
 
Cumulatively, a novel approach toward education, skill development and a safety net could lead to a condition that would be win-win and offset the losses from freer trade. There would also ensue global prosperity which could undercut migratory pressures to both the developed world and the United States, in particular.

In the final analysis, freer trade is a blessing that has proved to be a boon for mankind. It would be a sheer travesty if its momentum is derailed, even if temporarily. What is required,&nbsp;at this delicate point in world history, is far-sighted and deft leadership that is both particular and general.&nbsp;

(Disclaimer: The opinions expressed above are the personal views of the author and do not reflect the views of ZMCL.)

While there is no such thing as “free trade”, but freer trade, which gained impetus after the second world war has not only raised world output, among other things but raised, also lifted millions out of poverty.

While there is no such thing as “free trade”, but freer trade, which gained impetus after the second world war has not only raised world output, among other things but raised, also lifted millions out of poverty. Underpinned and promoted by an institutional firmament, especially the World Trade Organisation (WTO), whose precursor was the General Agreement on Trade and Tariffs (GATT), and what has been termed as the “liberal world order”, the freer trade paradigm is under serious threat. This holds despite US president Donald Trump’s assurances that trade talks between the United States and China were going on well and the March 1 deadline for tariffs might be extended. The backdrop to the threat to freer trade is a mélange of the 2008 financial crisis, the assumption of Donald Trump to the highest office in the United States, with the concomitant rise of protectionism and mercantilism, or in other words, the primacy of the nation-state over a more open trading and even world order. The paradox here is that the United States, which led and pioneered the liberal economic and political world order and whose support for it was essential, benefited from an open economic order but is now retreating from it. The reasons pertain not to economics but to political economy. While broad benefits accrue from freer trade, but it has both distributional and other economic consequences in terms of both “winners” and “losers”. This has been poignant in the United States where the distributional consequences of freer trade were acutely and intensely felt by those left behind by the gale of trade. The base brought Trump to power who, in his campaign pledges, promised to unwind the trade bargains and pacts and “make America great again(MAGA). In lieu of his pledges, Trump picked a trade fight with China and also attempted to rejigg trade between the United States, Canada and Mexico. The result has been a disruption that might feel good to some, but throws a spanner into the works of freer trade. This insalubrious development is not only ominous but potentially threatens to roll back the stupendous gains made so far throwing into jeopardy human welfare. The question is: can freer trade be salvaged? Yes. It can and it will perhaps gyrate to a dynamic of its own. The reasons accrue from the nature of the 21st-century economy which is both a knowledge and a “gig” economy and the widgets, nuts and bolts one too. Trump’s focus till now has been the relocation of manufacturing to the United States. But, the country’s economy and even the global economy in which it is enmeshed has moved on. Profound and staggering developments in the Information, Communications and Technologies (ICTs), automation, robotics and Artificial Intelligence(AI) mean that the name of the game is different, especially in the developed world. This is not to demean the nuts and bolts economy which is and will remain relevant but it will be a complement to changes elsewhere. It is here that the United States, the world’s largest economy, must focus on instead of adopting a protectionist mercantilist paradigm. The nature of this approach should be to reorient the country’s educational institutions and skill development in tune with the demands and the needs of the 21st century. A political price might have to made here but from a long duree perspective, it is the adoption of this particular approach that would be more sustainable and yield rewards both to the United States and the world, at large. But, importantly, an important structural complement to the suggested paradigm, should be the creation of safety nets for those who are likely to be left behind by what is a veritable gale of “creative destruction” in the offing. Cumulatively, a novel approach toward education, skill development and a safety net could lead to a condition that would be win-win and offset the losses from freer trade. There would also ensue global prosperity which could undercut migratory pressures to both the developed world and the United States, in particular. In the final analysis, freer trade is a blessing that has proved to be a boon for mankind. It would be a sheer travesty if its momentum is derailed, even if temporarily. What is required, at this delicate point in world history, is far-sighted and deft leadership that is both particular and general. (Disclaimer: The opinions expressed above are the personal views of the author and do not reflect the views of ZMCL.)

US-China trade talks: Free trade must not be derailed

With eight days left in their trade truce, the top US and Chinese officials on Thursday returned to the daunting task of bridging a chasm between the world's two largest economies.

US President Donald <a href="http://www.wionews.com/world/trump-says-us-china-trade-talks-going-very-well-198402">Trump has repeatedly claimed the talks with Beijing are going "very well,"</a> but concrete signs of progress have not been apparent in the three months since the two sides agreed to pause their trade war.

China's Commerce Ministry said Thursday the two sides would "go a step further in deepening their communication."

But analysts say the distance separating Washington and Beijing and the short time remaining before the March 1 deadline make it likely the outcome will feature banner announcements but fall short of Trump's most far-reaching goals.

"I think the consensus of people that have been following this thing is that they're not making nearly as much progress as the president tweets that they've been making," said William Reinsch, a former US trade official now at the Center for Strategic and International Studies.

Chinese trade envoy Liu He is leading Beijing's delegation in meetings with US Trade Representative Robert Lighthizer and other American officials Thursday and Friday as they work to head off an escalation of US tariffs.

This fourth round of negotiations follows two days of preliminary talks at the deputy level.

Trump this week said a March 1 deadline to reach a deal was in fact "not a magical date," raising hopes that he could delay the plan to more than double US duties on $200 billion in Chinese goods.

Since July, Washington and Beijing have hit each other with tariffs on more than $360 billion in two-way trade, weighing on the manufacturing sectors in both countries.

Washington has demanded that Beijing reverse much of its industrial policy, charging that China has sought global dominance through the alleged theft of American technology, massive subsidies and the promotion of mammoth state-owned enterprises.

US officials have stressed that any agreement must have teeth to ensure that China keeps its promises.&nbsp;

When Trump can claim 'victory!'

But demands for structural changes to China's economy likely will be far harder to resolve than complaints about the soaring US-China trade imbalance, which has hit record heights since Trump took office.

Trump has said the ultimate bargain will be struck at a meeting with China's President Xi Jinping.

Reinsch told AFP the two sides were likely to strike some kind of deal.

"I'm sure they'll come up with something that will be more than cosmetic but less than we're asking," he said.

"It'll probably in the area of intellectual property theft and more open investment in China because they're the things that benefit them as well as benefit us."

But other changes -- such as subjecting China's state-owned enterprises to free-market principles -- could weaken the communist party's hold on power, making Chinese officials very reluctant to budge, he added.

Meanwhile, China's economy has begun slowing sharply as well, eroding prospects for global growth this year. Japan reported Tuesday that China-bound exports had dived 17.4 percent last month, the biggest drop in three years as demand there tumbled.

Gary Clyde Hufbauer, a former US trade official now at the Peterson Institute for International Economics, said he expected China to make a mega-bucks offer to buy more American exports -- and possibly even unilaterally remove tariffs on US goods.

"I'm thinking there'll be an eye-catching announcement as to how much China will buy in the next year or so that will enable Trump to say 'victory! victory!'" he told AFP.

But should the agreement fail to hold -- causing Washington to resume imposing tariffs while accusing Beijing of backsliding -- that could pose prove embarrassing for the Americans, he said.

With eight days left in their trade truce, the top US and Chinese officials on Thursday returned to the daunting task of bridging a chasm between the world's two largest economies.

With eight days left in their trade truce, the top US and Chinese officials on Thursday returned to the daunting task of bridging a chasm between the world's two largest economies. US President Donald Trump has repeatedly claimed the talks with Beijing are going "very well," but concrete signs of progress have not been apparent in the three months since the two sides agreed to pause their trade war. China's Commerce Ministry said Thursday the two sides would "go a step further in deepening their communication." But analysts say the distance separating Washington and Beijing and the short time remaining before the March 1 deadline make it likely the outcome will feature banner announcements but fall short of Trump's most far-reaching goals. "I think the consensus of people that have been following this thing is that they're not making nearly as much progress as the president tweets that they've been making," said William Reinsch, a former US trade official now at the Center for Strategic and International Studies. Chinese trade envoy Liu He is leading Beijing's delegation in meetings with US Trade Representative Robert Lighthizer and other American officials Thursday and Friday as they work to head off an escalation of US tariffs. This fourth round of negotiations follows two days of preliminary talks at the deputy level. Trump this week said a March 1 deadline to reach a deal was in fact "not a magical date," raising hopes that he could delay the plan to more than double US duties on $200 billion in Chinese goods. Since July, Washington and Beijing have hit each other with tariffs on more than $360 billion in two-way trade, weighing on the manufacturing sectors in both countries. Washington has demanded that Beijing reverse much of its industrial policy, charging that China has sought global dominance through the alleged theft of American technology, massive subsidies and the promotion of mammoth state-owned enterprises. US officials have stressed that any agreement must have teeth to ensure that China keeps its promises. When Trump can claim 'victory!' But demands for structural changes to China's economy likely will be far harder to resolve than complaints about the soaring US-China trade imbalance, which has hit record heights since Trump took office. Trump has said the ultimate bargain will be struck at a meeting with China's President Xi Jinping. Reinsch told AFP the two sides were likely to strike some kind of deal. "I'm sure they'll come up with something that will be more than cosmetic but less than we're asking," he said. "It'll probably in the area of intellectual property theft and more open investment in China because they're the things that benefit them as well as benefit us." But other changes -- such as subjecting China's state-owned enterprises to free-market principles -- could weaken the communist party's hold on power, making Chinese officials very reluctant to budge, he added. Meanwhile, China's economy has begun slowing sharply as well, eroding prospects for global growth this year. Japan reported Tuesday that China-bound exports had dived 17.4 percent last month, the biggest drop in three years as demand there tumbled. Gary Clyde Hufbauer, a former US trade official now at the Peterson Institute for International Economics, said he expected China to make a mega-bucks offer to buy more American exports -- and possibly even unilaterally remove tariffs on US goods. "I'm thinking there'll be an eye-catching announcement as to how much China will buy in the next year or so that will enable Trump to say 'victory! victory!'" he told AFP. But should the agreement fail to hold -- causing Washington to resume imposing tariffs while accusing Beijing of backsliding -- that could pose prove embarrassing for the Americans, he said.

With eight days left in US-China trade truce, high-level talks between officials resume

<a href="http://www.wionews.com/south-asia/pak-pm-imran-khan-chairs-nsc-meeting-again-asks-for-actionable-proof-on-pulwama-attack-sources-to-wion-198779">Pak PM Imran Khan chairs NSC meeting, again asks for 'actionable proof' on Pulwama attack: Sources to WION</a>

Amid growing tensions with India over the Pulwama attack, Prime Minister Imran Khan chaired a key meeting of the National Security Council (NSC) to discuss the security situation.

<a href="http://www.wionews.com/world/no-reason-to-ratchet-up-confrontation-to-level-of-cuban-missile-crisis-we-can-put-submarines-in-neutral-waters-warns-putin-198765">No reason to ratchet up </a><a href="http://www.wionews.com/world/no-reason-to-ratchet-up-confrontation-to-level-of-cuban-missile-crisis-we-can-put-submarines-in-neutral-waters-warns-putin-198765">confrontation</a><a href="http://www.wionews.com/world/no-reason-to-ratchet-up-confrontation-to-level-of-cuban-missile-crisis-we-can-put-submarines-in-neutral-waters-warns-putin-198765"> to </a><a href="http://www.wionews.com/world/no-reason-to-ratchet-up-confrontation-to-level-of-cuban-missile-crisis-we-can-put-submarines-in-neutral-waters-warns-putin-198765">level</a><a href="http://www.wionews.com/world/no-reason-to-ratchet-up-confrontation-to-level-of-cuban-missile-crisis-we-can-put-submarines-in-neutral-waters-warns-putin-198765"> of </a><a href="http://www.wionews.com/world/no-reason-to-ratchet-up-confrontation-to-level-of-cuban-missile-crisis-we-can-put-submarines-in-neutral-waters-warns-putin-198765">Cuban</a><a href="http://www.wionews.com/world/no-reason-to-ratchet-up-confrontation-to-level-of-cuban-missile-crisis-we-can-put-submarines-in-neutral-waters-warns-putin-198765"> missile crisis, we can put submarines in neutral waters, warns Putin</a>

President Vladimir Putin has said that Russia is militarily ready for a Cuban Missile-style crisis if the United States is foolish enough to want one and that his country currently has the edge when it comes to a first nuclear strike.

<a href="http://www.wionews.com/south-asia/81-killed-as-massive-fire-spreads-at-lightning-speed-through-chemical-warehouses-in-bangladesh-198773">Bangladesh: 81 killed as </a><a href="http://www.wionews.com/south-asia/81-killed-as-massive-fire-spreads-at-lightning-speed-through-chemical-warehouses-in-bangladesh-198773">massive</a><a href="http://www.wionews.com/south-asia/81-killed-as-massive-fire-spreads-at-lightning-speed-through-chemical-warehouses-in-bangladesh-198773"> fire spreads through chemical warehouses in Dhaka</a>

A fast-moving fire swept through adjoining apartment buildings and chemical warehouses in a historic part of the Bangladesh capital Dhaka, killing at least 81 people and injuring several others, the latest such deadly blaze in the country.

<a href="http://www.wionews.com/sports/india-lose-by-not-playing-pak-in-world-cup-says-gavaskar-urges-imran-khan-to-act-198739">India lose by not playing Pak in World Cup, says Gavaskar; urges Imran Khan to act</a>

India stand to lose by boycotting Pakistan in the upcoming World Cup, feels former captain Sunil Gavaskar, who said the country can continue to "hurt them" by shunning bilateral ties.

<a href="http://www.wionews.com/world/president-xi-jinping-says-ties-with-iran-unchanged-as-saudi-crown-prince-arrives-in-china-198743">President Xi Jinping says ties with Iran unchanged as Saudi crown prince arrives in China</a>

China remains determined to maintain strategic ties with Iran regardless of regional tensions in the Middle East, its president has said, ahead of Saudi Arabia crown prince's two-day China trip that began Thursday.

&nbsp;

Pak PM Imran Khan chairs NSC meeting, again asks for 'actionable proof' on Pulwama attack: Sources to WION Amid growing tensions with India over the Pulwama attack, Prime Minister Imran Khan chaired a key meeting of the National Security Council (NSC) to discuss the security situation.

Pak PM Imran Khan chairs NSC meeting, again asks for 'actionable proof' on Pulwama attack: Sources to WION Amid growing tensions with India over the Pulwama attack, Prime Minister Imran Khan chaired a key meeting of the National Security Council (NSC) to discuss the security situation. No reason to ratchet up confrontation to level of Cuban missile crisis, we can put submarines in neutral waters, warns Putin President Vladimir Putin has said that Russia is militarily ready for a Cuban Missile-style crisis if the United States is foolish enough to want one and that his country currently has the edge when it comes to a first nuclear strike. Bangladesh: 81 killed as massive fire spreads through chemical warehouses in Dhaka A fast-moving fire swept through adjoining apartment buildings and chemical warehouses in a historic part of the Bangladesh capital Dhaka, killing at least 81 people and injuring several others, the latest such deadly blaze in the country. India lose by not playing Pak in World Cup, says Gavaskar; urges Imran Khan to act India stand to lose by boycotting Pakistan in the upcoming World Cup, feels former captain Sunil Gavaskar, who said the country can continue to "hurt them" by shunning bilateral ties. President Xi Jinping says ties with Iran unchanged as Saudi crown prince arrives in China China remains determined to maintain strategic ties with Iran regardless of regional tensions in the Middle East, its president has said, ahead of Saudi Arabia crown prince's two-day China trip that began Thursday.

News brief: Big stories of the day

China remains determined to maintain strategic ties with Iran regardless of regional tensions in the Middle East, its president has said, ahead of Saudi Arabia crown prince's two-day China trip that began Thursday.

In a statement, the Chinese Ministry of Foreign Affairs Thursday said that President Xi Jinping met the speaker of Iran's parliament, Ali Larijani, and told him that his desire to develop close ties with the Islamic republic remained unchanged.

"Regardless of how the international and regional situation develops China's determination to develop a deep strategic link with Iran will remain unchanged," Xi told Larijani, according to the statement.

Xi met with Larijani at the Great Hall of the People on Wednesday and pledged to play a constructive role in maintaining regional peace and stability, the statement said.

The Chinese president said that Beijing was willing to maintain close communication and coordination with Iran on regional issues.

Larijani highlighted Iran's intention to strengthen mutual trust, promote pragmatic cooperation and mutual support on international and regional issues, according to the statement.

China is part of the group of countries - along with Russia, France, the United Kingdom and Germany - that <a href="http://www.wionews.com/world/china-to-maintain-trade-with-iran-despite-us-nuclear-deal-pullout-146109">continue to support the 2015 nuclear agreement</a> with Iran after the United States withdrew the deal last year.

The statement came hours before Xi meets with the Crown Prince of Saudi Arabia, Mohamed bin Salman, in Beijing.

The prince, who arrived in China after his <a href="http://www.wionews.com/opinions/crown-prince-visit-pakistan-needs-saudi-arabias-crutches-to-survive-but-india-doesnt-198700">India and Pakistan trip as part</a> of Saudi Arabia's look east efforts, will also meet with first Vice Premier Han Zheng. The two will chair the third meeting of the joint high-level bilateral committee between the two countries.

Bin Salman's visit comes amid growing tensions between Riyadh and Tehran.

The two regional rivals, vying for supremacy in the Middle East since 1979, have not maintained diplomatic relations after January 2016. This has partly prevented Beijing from sustaining a balanced equation between the two powers in the oil-rich region.

Chinese foreign ministry spokesperson Geng Shuang said in a press conference last week that China would continue strengthening bilateral cooperation with Saudi Arabia.

Geng said China and Saudi Arabia maintain deep political confidence and cooperation in fields such as energy and infrastructure as well as the Belt and Road Initiative, the multi-billion dollar infrastructure initiative also known as New Silk Road.

In recent years, the Chinese president has led a policy of increasing its global influence in strategic regions, such as Africa, Latin America and the Middle East, where it seeks to strengthen its presence.

China remains determined to maintain strategic ties with Iran regardless of regional tensions in the Middle East, its president has said, ahead of Saudi Arabia crown prince's two-day China trip that began Thursday.

China remains determined to maintain strategic ties with Iran regardless of regional tensions in the Middle East, its president has said, ahead of Saudi Arabia crown prince's two-day China trip that began Thursday. In a statement, the Chinese Ministry of Foreign Affairs Thursday said that President Xi Jinping met the speaker of Iran's parliament, Ali Larijani, and told him that his desire to develop close ties with the Islamic republic remained unchanged. "Regardless of how the international and regional situation develops China's determination to develop a deep strategic link with Iran will remain unchanged," Xi told Larijani, according to the statement. Xi met with Larijani at the Great Hall of the People on Wednesday and pledged to play a constructive role in maintaining regional peace and stability, the statement said. The Chinese president said that Beijing was willing to maintain close communication and coordination with Iran on regional issues. Larijani highlighted Iran's intention to strengthen mutual trust, promote pragmatic cooperation and mutual support on international and regional issues, according to the statement. China is part of the group of countries - along with Russia, France, the United Kingdom and Germany - that continue to support the 2015 nuclear agreement with Iran after the United States withdrew the deal last year. The statement came hours before Xi meets with the Crown Prince of Saudi Arabia, Mohamed bin Salman, in Beijing. The prince, who arrived in China after his India and Pakistan trip as part of Saudi Arabia's look east efforts, will also meet with first Vice Premier Han Zheng. The two will chair the third meeting of the joint high-level bilateral committee between the two countries. Bin Salman's visit comes amid growing tensions between Riyadh and Tehran. The two regional rivals, vying for supremacy in the Middle East since 1979, have not maintained diplomatic relations after January 2016. This has partly prevented Beijing from sustaining a balanced equation between the two powers in the oil-rich region. Chinese foreign ministry spokesperson Geng Shuang said in a press conference last week that China would continue strengthening bilateral cooperation with Saudi Arabia. Geng said China and Saudi Arabia maintain deep political confidence and cooperation in fields such as energy and infrastructure as well as the Belt and Road Initiative, the multi-billion dollar infrastructure initiative also known as New Silk Road. In recent years, the Chinese president has led a policy of increasing its global influence in strategic regions, such as Africa, Latin America and the Middle East, where it seeks to strengthen its presence.

President Xi Jinping says ties with Iran unchanged as Saudi crown prince arrives in China

President <a href="http://www.wionews.com/world/hope-chinese-could-experience-blessing-of-democracy-taiwan-takes-dig-at-china-in-new-year-message-194937">Tsai Ing-wen</a> on Wednesday said no formal peace deal could be signed with China until leaders in Beijing rule out using force against the island.

Tsai was speaking a day after she confirmed she would run for re-election in early 2020 despite falling ratings and an increasingly strained relationship with China.

Beijing still sees democratic Taiwan as part of its territory to be reunified, despite the two sides being ruled separately since the end of a civil war in 1949.

Tsai was responding to recent comments by Wu Den-yih, head of the main opposition Kuomintang (KMT), that his party would pursue a peace treaty with Beijing if it were to regain power next year.

In pictures: <a href="http://www.wionews.com/photos/in-pics-taiwan-china-relations-since-1949-188037">Taiwan-China relations since 1949</a>

"There would be no so-called negotiation on equal footing and no real peace as China refuses to give up the use of force against Taiwan and forcefully pushes the 'one country, two systems' framework," she said in a media briefing.

"China's military intentions and its refusal to give up the use of force against Taiwan is a real source of regional instability and a threat to regional peace," she added.

"One country, two systems" is China's proposal to absorb Taiwan into the mainland but allow it to keep some of its freedoms.

Beijing has made its dislike of Tsai and her independence-leaning Democratic Progressive Party clear.&nbsp;

After her election in 2016, it cut communication with her administration, stepped up military drills and poached several of Taiwan's dwindling diplomatic allies.

President Xi Jinping reiterated in a speech last month that China would not renounce the option of using military force to bring Taiwan into the fold, describing unification with the mainland as "inevitable".

A KMT win in 2020 would likely please leaders in Beijing given the much closer relationship it forged with the previous administration of Ma Ying-jeou.&nbsp;

Ma suggested in 2011 that Taiwan should consider a peace treaty with China within the coming decade, to formally bring an end to a civil war that has actually been over for seventy years.

The proposal sparked criticism from detractors that it would be tantamount to a unification or surrender treaty.&nbsp;

Ma later stressed that he would only move ahead for a peace agreement with the approval of both the parliament and the public, and the issue had been shelved since.

The KMT's drubbing at the 2016 election partly stemmed from voter unease over the party's perceived cosiness to the mainland.

But Wu -- a former vice president under Ma -- has resurrected the issue ahead of next year's polls. He is among the KMT bigwigs who have been tipped to run for president.

Tsai said she believed voters would balk at the proposal unless Beijing withdrew its threats.

"I believe Taiwanese society would not accept any political agreement that could harm or eliminate our sovereignty or eliminate Taiwan's democracy," she said. 
&nbsp;

President Tsai Ing-wen on Wednesday said no formal peace deal could be signed with China until leaders in Beijing rule out using force against the island. Tsai was speaking a day after she confirmed she would run for re-election in early 2020 despite falling ratings and an increasingly strained relationship with China.

President Tsai Ing-wen on Wednesday said no formal peace deal could be signed with China until leaders in Beijing rule out using force against the island. Tsai was speaking a day after she confirmed she would run for re-election in early 2020 despite falling ratings and an increasingly strained relationship with China. Beijing still sees democratic Taiwan as part of its territory to be reunified, despite the two sides being ruled separately since the end of a civil war in 1949. Tsai was responding to recent comments by Wu Den-yih, head of the main opposition Kuomintang (KMT), that his party would pursue a peace treaty with Beijing if it were to regain power next year. In pictures: Taiwan-China relations since 1949 "There would be no so-called negotiation on equal footing and no real peace as China refuses to give up the use of force against Taiwan and forcefully pushes the 'one country, two systems' framework," she said in a media briefing. "China's military intentions and its refusal to give up the use of force against Taiwan is a real source of regional instability and a threat to regional peace," she added. "One country, two systems" is China's proposal to absorb Taiwan into the mainland but allow it to keep some of its freedoms. Beijing has made its dislike of Tsai and her independence-leaning Democratic Progressive Party clear. After her election in 2016, it cut communication with her administration, stepped up military drills and poached several of Taiwan's dwindling diplomatic allies. President Xi Jinping reiterated in a speech last month that China would not renounce the option of using military force to bring Taiwan into the fold, describing unification with the mainland as "inevitable". A KMT win in 2020 would likely please leaders in Beijing given the much closer relationship it forged with the previous administration of Ma Ying-jeou. Ma suggested in 2011 that Taiwan should consider a peace treaty with China within the coming decade, to formally bring an end to a civil war that has actually been over for seventy years. The proposal sparked criticism from detractors that it would be tantamount to a unification or surrender treaty. Ma later stressed that he would only move ahead for a peace agreement with the approval of both the parliament and the public, and the issue had been shelved since. The KMT's drubbing at the 2016 election partly stemmed from voter unease over the party's perceived cosiness to the mainland. But Wu -- a former vice president under Ma -- has resurrected the issue ahead of next year's polls. He is among the KMT bigwigs who have been tipped to run for president. Tsai said she believed voters would balk at the proposal unless Beijing withdrew its threats. "I believe Taiwanese society would not accept any political agreement that could harm or eliminate our sovereignty or eliminate Taiwan's democracy," she said.

No peace talks unless China gives up force against Taiwan: President Tsai Ing-wen

US and Chinese officials wrapped up days of trade talks in Beijing on Friday with plans to resume negotiations in Washington this week as the world's top two economies try to smooth out their thorny trade dispute.&nbsp;

US President Donald Trump said the talks were going "extremely well", while his advisors deep in the details warned there was still "much work" to do.

Beijing and Washington have already imposed duties on more than $360 billion in two-way trade, which is weighing on their manufacturing sectors and has shaken global financial markets.&nbsp;

Trump has said he may extend a March 1 deadline after which tariffs on $200 billion worth of Chinese goods are set to more than double.

Here is a breakdown of the main sticking points:

IP theft &amp; tech transfer&nbsp;

Washington contends Beijing has encouraged theft of American intellectual property while forcing US companies to turn over trade secrets for market access.

Beijing has long denied the charges but is working to step up punishments for IP theft, fast-tracking a new foreign investment law which explicitly bans forced technology transfer.&nbsp;

It is also gradually increasing the scope of industries where foreign firms can operate without a Chinese joint venture partner. &nbsp;

It is unclear if the moves will be enough to appease the Trump Administration. The FBI recently said it is investigating Chinese economic espionage across the US while the Justice Department is leading a name, shame and prosecute the campaign against Chinese spying and theft.

US prosecutors recently ensnared Chinese tech giant Huawei with charges of trade secret theft, including an alleged programme to reward technology theft from rivals.

Industrial policy&nbsp;

China's industrial policy has raised concerns -- especially a "Made in China 2025" initiative that aims to make the Asian giant into a global leader in emerging technologies like artificial intelligence, through generous state support for domestic firms.&nbsp;

Beijing and the Chinese state media have played down the policy this past year as it aroused controversy, but for China, the trade tensions have only reinforced the need to increase self-sufficiency in crucial technology like semiconductors.&nbsp;

Indeed, a brief US ban on sales to state-backed telecom giant ZTE nearly killed the company last year.

State subsidies&nbsp;

In recent years China's state-owned companies have strengthened their domestic dominance -- flying in the face of Western demands for market reforms.

Washington hopes China will lessen the role of the state in the economy and curtail generous subsidies for industries and companies.

But economist Cui Fan of the University of International Business and Economics in Beijing cautioned China may not give ground if the US wants to discuss state subsidies beyond the remit of the World Trade Organization agreement.&nbsp;

"I am afraid it will be difficult to completely solve this month," he said.

Trade deficit&nbsp;

China's politically sensitive trade surplus with the US last year hit a record $323.3 billion as the tit-for-tat tariffs kept Chinese buyers away from American agricultural and energy commodities.

Beijing has pledged to pick up purchases of US soybeans and other goods and dangled a massive buying spree over negotiations to nudge the White House towards a deal. The White House Friday emphasised discussions on purchases to reduce the "large and persistent bilateral trade deficit".

But any buying spree would have to rely heavily on the Chinese state-owned firms which Washington is battling to sideline.&nbsp;

Deal in sight?&nbsp;

The two sides are working towards a Memorandum of Understanding to detail their commitments ahead of a potential meeting between Trump and Xi.

The test will be if Trump can get on board with a deal to address the trade deficit that defers structural changes.

Earlier this month he told the American public a deal "must include a real structural change to end unfair trade practices", but Chinese analysts say that will take time.

"We are a slow-moving country. Some patience is needed," said Zhang Yansheng, chief researcher at China Center for International Economic Exchanges, a government-linked think tank, adding negotiating China's entry into the WTO took more than a decade.

Then there is the question of how to enforce whatever is agreed on. Beijing has long been wary of outside oversight.

US and Chinese officials wrapped up days of trade talks in Beijing on Friday with plans to resume negotiations in Washington this week as the world's top two economies try to smooth out their thorny trade dispute.

US and Chinese officials wrapped up days of trade talks in Beijing on Friday with plans to resume negotiations in Washington this week as the world's top two economies try to smooth out their thorny trade dispute. US President Donald Trump said the talks were going "extremely well", while his advisors deep in the details warned there was still "much work" to do. Beijing and Washington have already imposed duties on more than $360 billion in two-way trade, which is weighing on their manufacturing sectors and has shaken global financial markets. Trump has said he may extend a March 1 deadline after which tariffs on $200 billion worth of Chinese goods are set to more than double. Here is a breakdown of the main sticking points: IP theft & tech transfer Washington contends Beijing has encouraged theft of American intellectual property while forcing US companies to turn over trade secrets for market access. Beijing has long denied the charges but is working to step up punishments for IP theft, fast-tracking a new foreign investment law which explicitly bans forced technology transfer. It is also gradually increasing the scope of industries where foreign firms can operate without a Chinese joint venture partner. It is unclear if the moves will be enough to appease the Trump Administration. The FBI recently said it is investigating Chinese economic espionage across the US while the Justice Department is leading a name, shame and prosecute the campaign against Chinese spying and theft. US prosecutors recently ensnared Chinese tech giant Huawei with charges of trade secret theft, including an alleged programme to reward technology theft from rivals. Industrial policy China's industrial policy has raised concerns -- especially a "Made in China 2025" initiative that aims to make the Asian giant into a global leader in emerging technologies like artificial intelligence, through generous state support for domestic firms. Beijing and the Chinese state media have played down the policy this past year as it aroused controversy, but for China, the trade tensions have only reinforced the need to increase self-sufficiency in crucial technology like semiconductors. Indeed, a brief US ban on sales to state-backed telecom giant ZTE nearly killed the company last year. State subsidies In recent years China's state-owned companies have strengthened their domestic dominance -- flying in the face of Western demands for market reforms. Washington hopes China will lessen the role of the state in the economy and curtail generous subsidies for industries and companies. But economist Cui Fan of the University of International Business and Economics in Beijing cautioned China may not give ground if the US wants to discuss state subsidies beyond the remit of the World Trade Organization agreement. "I am afraid it will be difficult to completely solve this month," he said. Trade deficit China's politically sensitive trade surplus with the US last year hit a record $323.3 billion as the tit-for-tat tariffs kept Chinese buyers away from American agricultural and energy commodities. Beijing has pledged to pick up purchases of US soybeans and other goods and dangled a massive buying spree over negotiations to nudge the White House towards a deal. The White House Friday emphasised discussions on purchases to reduce the "large and persistent bilateral trade deficit". But any buying spree would have to rely heavily on the Chinese state-owned firms which Washington is battling to sideline. Deal in sight? The two sides are working towards a Memorandum of Understanding to detail their commitments ahead of a potential meeting between Trump and Xi. The test will be if Trump can get on board with a deal to address the trade deficit that defers structural changes. Earlier this month he told the American public a deal "must include a real structural change to end unfair trade practices", but Chinese analysts say that will take time. "We are a slow-moving country. Some patience is needed," said Zhang Yansheng, chief researcher at China Center for International Economic Exchanges, a government-linked think tank, adding negotiating China's entry into the WTO took more than a decade. Then there is the question of how to enforce whatever is agreed on. Beijing has long been wary of outside oversight.

US-China trade talks: What's under debate

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.

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

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