US and China hold more trade talks, but Kim visit overshadows discussions

Members of the US negotiation team leave a hotel for the second day of talks in Beijing, seeking to resolve a number of thorny issues that have threatened an all-out trade war between the world’s two biggest economies. (AFP)
Updated 08 January 2019

US and China hold more trade talks, but Kim visit overshadows discussions

  • Negotiators are seeking to resolve a number of thorny issues that have threatened an all-out trade war between the world’s two biggest economies
  • Without a resolution, punitive US duty rates on $200 billion in Chinese goods are due to rise to 25 percent from 10 percent on March 2

BEIJING: US officials held a second day of trade talks with Chinese counterparts in Beijing on Tuesday, overshadowed by an unannounced visit from North Korean leader Kim Jong Un.
This is the first time the two sides have met face-to-face since US President Donald Trump and President Xi Jinping agreed to a tariff truce during a meeting in Argentina on December 1.
The US delegation, which is led by Deputy US Trade Representative Jeffrey Gerrish and includes officials from the Treasury, Commerce, Agriculture and Energy departments, left its hotel without talking to reporters ahead of the talks.
Negotiators are seeking to resolve a number of thorny issues that have threatened an all-out trade war between the world’s two biggest economies.
These include more Chinese purchases of US goods and services to reduce a yawning trade gap, increased access to China’s markets, stronger protection of intellectual property and a reduction in Beijing’s subsidies to Chinese companies.
Neither side has yet provided any details about the talks in Beijing.
The temporary cease-fire came after the two sides imposed import duties on more than $300 billion of each other’s goods.
US Commerce Secretary Wilbur Ross said Monday that China’s economy is more vulnerable to the fallout from the trade war.
“It certainly has hurt the Chinese economy,” Ross told CNBC, noting that China exports many more goods to the United States than the other way around.
Ross said there was a “very good chance” of reaching an agreement, although monitoring compliance would present a challenge.
Without a resolution, punitive US duty rates on $200 billion in Chinese goods are due to rise to 25 percent from 10 percent on March 2.
The second day of trade negotiations coincided with an unannounced visit by North Korean leader Kim Jong Un for talks with Xi in Beijing, amid speculation of a second meeting between Kim and Trump.
Some analysts say that China — Pyongyang’s key diplomatic ally and main source of trade — could use Kim’s visit as a bargaining chip in the US trade talks.
But Bonnie Glaser, a senior adviser at the Center for Strategic and International Studies, said the timing of the North Korean leader’s arrival could be coincidental.
“I don’t see any linkage with the trade talks,” said Bonnie Glaser, a senior adviser at the Center for Strategic and International Studies.
“China’s ability to use (North Korea) as leverage has diminished considerably since Trump opened his own channel to Kim,” she said.
A separate geopolitical issue angered China on Monday when a US Navy guided-missile destroyer sailed near disputed islands in the South China Sea — a vast expanse claimed by Beijing.
China called it a violation of its sovereignty which has damaged “peace, safety and order” in the waterway.
The United States periodically sends planes and warships through the area to signal to Beijing its right under international law to pass through the waters.


At Davos, innovative products point to a sustainable future

Updated 24 January 2020

At Davos, innovative products point to a sustainable future

  • A single tree that to bear 40 different types of apple

DAVOS: The World Economic Forum is not all about the fourth industrial revolution or the rise of AI.

You can also find all manner of strange and intriguing products on display from biodegradable plastic made from algae to wallpaper made from recycled corn husks.

One stand titled “How do you design a tree?” is part of a conservation effort where a single tree is designed to bear 40 different types of apple.

Another stand displays colored seaweed on a rack, showing how clothes can be dyed in a sustainable, non-chemically corrosive manner.

Propped along a large wall is Fernando Laposse’s wallpaper made of variations of purple corn husks that are reinforced with recycled cardboard and cork to create wallpaper and furniture. The husks come from corn that needs very little water and can be grown in the desert, which makes it all the more sustainable.

“This initiative helps the local economy as it brings in jobs and a resurgence of crafts and food traditions while also ensuring sustainability,” Laposse said.

Another display shows a machine that extracts pellets from a mixture of algae and starch and is used to create a thread that is the base of 3D printing. These sustainable, biodegradable plastics made from algae are being experimented with in different regions.

With the rise of deep fakes — a branch of synthetic media in which a person in an existing image or video is replaced with someone else’s likeness — another stand delivers a warning on the looming dangers of unregulated software.

The Davos forum prides itself on its sustainability, and key topics have included climate, mobility, energy and the circular economy. Everything is recyclable, and participants must download an application in order to keep up with the program and any changes — a move to cut down on paper waste.