The latest trade talks between China and the United States began on Saturday in Kuala Lumpur, Malaysia.
Officials from the US Treasury Department and China’s state media confirmed the meeting. The discussions are seen as preparation for the much-anticipated meeting between US President Donald Trump and Chinese President Xi Jinping next week in South Korea.
According to China’s Ministry of Commerce, the Chinese delegation is led by Vice Premier He Lifeng, who will stay in Malaysia until Monday. Reporters from AFP saw He Lifeng and his team entering the world’s second-tallest building, Merdeka 118, but they did not speak to the media. They went straight to the upper floors of the building without making any comments.
The US delegation reportedly used a separate entrance. Building staff said that both sides are holding formal meetings on the 92nd floor.
The two world’s largest economies are trying to reach common ground to avoid further damage from the trade war that has hurt both sides in recent years. Trump and Xi are expected to meet on the sidelines of the Asia-Pacific Economic Cooperation (APEC) Summit in South Korea this Thursday.
Although Trump recently warned that he might cancel the meeting, he later said he still hopes to make a “good deal” with China and bring an end to the trade war.
A US Treasury spokesperson confirmed on Saturday that the talks have officially started. China’s state-run Xinhua news agency also said that the two delegations “held a meeting.”
Meanwhile, tensions have risen after Beijing decided to tighten control over its rare earth mineral industry. In response, Washington has threatened to impose tariffs of up to 100 percent on Chinese imports.
Both countries have already begun applying new import taxes on each other’s goods. The situation worsened after a US “Section 301” investigation concluded that China’s dominance in the rare earth sector was unfair.
