Treasury Secretary Janet L. Yellen will maintain two days of high-level conferences together with her Chinese language counterpart, Vice Premier He Lifeng, this week, as america and China look to construct upon an effort that began earlier this 12 months to enhance communication between the world’s two largest economies.
The conferences will happen on Thursday and Friday in San Francisco forward of the Asia-Pacific Financial Cooperation summit, which begins on Saturday. The conferences will assist lay the groundwork for anticipated talks on the summit between President Biden and China’s prime chief, Xi Jinping. The Treasury Division mentioned that america hoped Ms. Yellen’s conferences would “additional stabilize the bilateral financial relationship” and make progress on key financial points.
The revival of financial diplomacy between the 2 nations comes at a fraught second for the worldwide financial system, which is grappling with sluggish output and wars in Ukraine and the Center East.
A senior Treasury Division official mentioned the Biden administration continued to hunt a greater understanding of China’s financial insurance policies. Ms. Yellen is anticipated to speak to Mr. He about points like debt reduction for growing nations and the financing of worldwide efforts to fight local weather change. The discussions are additionally meant to handle any misunderstandings from latest nationwide safety actions that the Biden administration has taken, resembling restrictions on investments that Individuals could make in Chinese language industries.
The talks in San Francisco comply with Ms. Yellen’s journey to Beijing in July. After that go to, the Treasury Division established monetary and financial working teams to advertise extra common dialogue between america and China.
As Treasury secretary, Ms. Yellen has been attempting to assist america diversify its provide chains in order that it depends extra on allies and home manufacturing and fewer on China, which over the previous decade has equally labored to grow to be much less reliant on imports.
In a speech on the Asia Society final week, Ms. Yellen mentioned that america would proceed to reply to China’s financial practices whereas in search of methods to work collectively the place doable. However she additionally made clear that she opposed efforts to sever financial ties with China.
“A full separation of our economies, or an method through which nations together with these within the Indo-Pacific are compelled to take sides, would have important damaging world repercussions,” Ms. Yellen mentioned. “We’ve got little interest in such a divided world and its disastrous results.”