The U.S.A. and Chinese officials will restart trade talks on the end of this week; however, any agreement the world’s largest economies carve out is anticipated to be a superficial fix.
The trade conflict has hardened right into a political and ideological battle that runs far more profound than tariffs, trade specialists, executives, and officials in both countries state.
China’s Communist Party is unlikely to influence U.S. demands to change the way it runs the economy, whereas the U.S. won’t backtrack on labeling the Chinese company’s national security threats.
The conflict between the two countries might take a decade to resolve, White House economic advisor and expert Larry Kudlow warned on Sept. 6. Yu Yongding, an influential former policy adviser to China’s central bank, informed Reuters that China was in no rush to make a deal.
Presidents Donald Trump and Xi Jinping could hammer out an interim agreement in October to appease stock markets and claim political victory after this week’s lower-level talks.
However, any last agreement is “extremely unlikely to meaningfully address the Chinese structural reforms” sought by the U.S. and other countries, stated Kellie Meiman Hock, a former U.S. Trade Representative official and managing partner with McLarty Associates, a policy and government consultancy.
Negotiators have made little discernible progress on the many points of disagreement since negotiations broke down in May, sources briefed on the talks say.