Yellen urges US-China cooperation on economy and climate change

The Treasury Secretary Janet Yellen on Saturday urged closer communication between China and USA to improve economic decision-making, and challenged Beijing to join global efforts to help poorer nations cope with the climate change.

Despite bilateral tensions, the record number of trade between the United States and China last year demonstrated that there is a “Wide margin” for trade and investment, and that it is essential to focus on areas of common interest and address disagreements through dialogue, Yellen told Chinese Vice Premier He Lifeng.

The talks lasted about five hours and were followed by dinner, according to a Treasury official.

Chinese state media described the meeting as “deep, sincere and pragmatic”. Although the talks were “constructive”the Chinese side expressed concern about the US sanctions and restrictive measures, according to the state-run Xinhua news agency.

China also believes that generalizing the concept of national security does not benefit normal economic and trade exchanges, Xinhua reported.

Yellen’s visit through Sunday is yet another attempt by Washington to mend ties between the world’s two largest economies, battered by issues ranging from Taiwan to technology that have drawn their allies into this rivalry, weighing on business and business ties.

Yellen is seeking a delicate balance between conciliation and continuing to pressure Beijing to end practices that Washington says harm American and Western companies.

Both sides have downplayed expectations of breakthroughs, while welcoming the opportunity for frank, face-to-face diplomacy.

“In the midst of challenging global economic prospects, there is a pressing need for the two largest economies to communicate closely and exchange views on our responses to various challenges”Yellen said to He.

This could “help both parties better understand the global economic outlook and make better decisions to strengthen our economies”, he claimed.

Yellen also argued that the world’s two largest economies must work together to combat the “existential threat” of climate change in dialogue with Beijing officials and climate experts.

The US official said previous US-China cooperation on climate change had made possible global breakthroughs like the 2015 Paris Agreement, adding that both governments wanted to support emerging markets and developing countries in their efforts. for meeting its climate targets.

“Continued cooperation between the United States and China on climate finance is critical,” Yellen said. “As the world’s two largest emitters of greenhouse gases and the largest investors in renewable energy, we have the joint responsibility – and the ability – to lead the way.”

The official pointed out that the financing of these initiatives must be coordinated efficiently and effectively, adding that Beijing’s support for multilateral institutions could enhance their impact.

“It is also essential that we encourage the transition of the entire economy towards the goal of net zero emissions, which must include the private sector”Yellen stated.

Source: Reuters