US-China Trade Talks ‘Constructive,’ More Talks Expected September, Says White House

U.S. Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin traveled to Shanghai for talks Tuesday and Wednesday on a comprehensive U.S.-China trade deal, said the White House Wednesday. Vice Premier Liu He and Commerce Minister Zhong Shan led the Chinese delegation, it said. “The two sides discussed topics such as forced technology transfer, intellectual property rights, services, non-tariff barriers, and agriculture.” The Chinese “confirmed their commitment to increase purchases” of U.S. agricultural exports, it said. “The meetings were constructive, and we expect negotiations on an enforceable trade deal to continue” in Washington in early September, it said. The Shanghai meetings were the 12th round of negotiations that started in December, and were the first face-to-face talks between the sides since the negotiations broke down in May over Trump administration allegations that the Chinese reneged on previously agreed-to commitments (see 1905060015). Overhanging the talks is the threat that the administration could put the List 4 Section 301 tariffs into effect at any time on virtually all Chinese goods not previously dutied, including billions in consumer tech goods (see 1905140025). Senate Minority Leader Chuck Schumer, D-N.Y., cautioned President Donald Trump against giving in to China. "I’d say to President Trump 'I know these multinational corporations are pressuring you to cut a quick deal,'" Schumer said. "The president should not listen to these big corporations who want him to cut a deal quickly." Trump should also "hold tough on Huawei," Schumer said on the Senate floor Wednesday. "Don’t let there be giant loopholes. I am told that under the proposal being talked about, 80 percent of Huawei’s products could still be sold in the U.S. If we have a total boycott of Huawei, then China will beg us -- beg us -- to come to the table be make big concessions. It’s the best leverage we have, even better than the tariffs. China wants Huawei to dominate the world. They’ll find a way to do it unless we are tough as could be."