High-Level Dialogue Resumption Gains Momentum
On the 25th (local time), the US and China commerce ministers met in Washington DC, expressing concerns over sanctions against each other while agreeing to establish a dialogue channel. With a US-China trade ministers meeting scheduled soon and the possibility of a defense ministers meeting early next month, high-level meetings between the two countries are resuming in earnest, raising expectations that tensions between the US and China may ease.
According to the US and Chinese commerce departments, US Secretary of Commerce Gina Raimondo and Chinese Minister of Commerce Wang Wentao met in Washington that day. This meeting was arranged due to Wang's visit to the US to attend the Asia-Pacific Economic Cooperation (APEC) trade ministers meeting and is the first minister-level meeting since the Biden administration took office.
Secretary Raimondo expressed concerns about Chinese government sanctions targeting US companies operating in China. This is interpreted as referring to the sanctions imposed on US semiconductor company Micron on the 21st.
China also expressed concerns about US sanctions against China. The Chinese Ministry of Commerce explained, "China expressed focused concerns regarding the US's economic and trade policies toward China, semiconductor policies, export controls, and foreign investment reviews."
Earlier, in October last year, the US government announced measures banning the export of advanced semiconductor equipment to China by US companies. Subsequently, it has accelerated efforts to exclude China from the semiconductor supply chain by securing the participation of allies such as Japan and the Netherlands.
However, both sides agreed to establish communication channels to maintain and strengthen exchanges on economic and trade issues. The US-China joint statement included the expression that the talks were "frank," acknowledging differences between the two sides, but also contained positive evaluations such as "substantive" and "constructive."
The US Department of Commerce stated, "The two ministers had frank and substantive discussions on issues related to US-China trade relations," adding, "This included the overall trade and investment environment between the two countries and potential areas of cooperation." It emphasized, "This meeting is part of ongoing efforts to keep communication channels open and responsibly manage bilateral relations."
The Chinese Ministry of Commerce also explained, "The two sides had frank, professional, and constructive exchanges on economic and trade relations and issues of common concern," and "Both sides agreed to establish communication channels to maintain and strengthen exchanges on economic and trade-related concerns and cooperation matters."
This US-China commerce ministers meeting is expected to mark the full resumption of high-level dialogue between the two countries. The possibility of a meeting between US Secretary of Defense Lloyd Austin and Chinese Minister of National Defense Li Shangfu is being discussed in connection with the Asia Security Conference held in Singapore from the 2nd of next month. A meeting between US Trade Representative Katherine Tai and Minister Wang is also scheduled soon. At the US-China trade ministers meeting, issues such as the easing of US high tariffs on China are expected to be discussed.
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