U.S. Commerce Secretary Gina Raimondo speaks throughout a Reuters interview at the Department of Commerce in Washington, September 23, 2021.
Kevin Lamarque|Reuters
U.S. Secretary of Commerce Gina Raimondo is set to meet senior Chinese authorities and U.S. magnate in Beijing as the 2 nations continue top-level talks.
Her journey is a vital however likewise a difficult one to tread with U.S.-China financial ties hanging in the balance, according to a previous senior U.S. diplomat.
“Gina Raimondo’s trip is going to be a tricky one, because she is going to have to talk to the Chinese about their concerns about the U.S. trying to contain the Chinese economy and throttle their development,” Susan Thornton informed CNBC’s “Squawk Box Asia.”
Thornton formerly acted as acting assistant secretary for East Asian and Pacific Affairs at the StateDepartment She stated Raimondo would wish to “get some business done for U.S. businesses,” on top of promoting and supporting trade relations with China.
“So it’s a tough visit. But I think it’s one that the Chinese are welcoming and want to see some positive statements come out of,” stated Thornton, who is now a senior fellow at the Paul Tsai China Center at Yale Law School.
Raimondo showed up in Beijing on Sunday night, starting a go to which came at the invite of her equivalent, Chinese Minister of Commerce Wang Wentao.
In an opening declaration, Wang stated China is all set to interact to “foster a more favorable policy environment” for U.S. and Chinese companies.
Items on Raimondo’s program most likely consist of enhancing tourist, export controls and cross-border information circulations, Thornton stated.
According to the U.S. Travel Association, China was the biggest source of abroad tourists to the U.S. in 2019 and outgoing travel this year from China to the U.S. has actually just recuperated to 30% of the levels seen in 2019.
When asked whether tariffs enforced by previous President Donald Trump might be reversed, Thornton stated: “I don’t think that that’s going to be happening as a result of this trip.”
The Chinese economy remains in “much more difficulty” than what individuals this time in 2015 approximated, she stated.
“I think the U.S. at the same time also sees dangers from the faltering Chinese economy, which will have global repercussions but certainly also for the U.S. economy,”
China just recently reported second-quarter gdp listed below expectations, along with record high youth joblessness prior to suspending the breakdown of the general figures.
“It’s in our interest as well to try to stabilize the trading relationship between the two biggest economic powers in the world,” stated Thornton.
— CNBC’s Evelyn Cheng added to this report.
