China and United States to hold trade talks in Beijing next week

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US President Donald Trump and Chinese President Xi Jinping agreed to the temporary truce on 1 December on the sidelines of the G20 summit in Argentina. The adviser says that with the Chinese economy slipping due to the USA tariffs, it will put pressure on the country to agree to a trade deal with the Trump administration. Its one-sentence announcement gave no other details of the agenda or who else would take part. USA president Donald Trump has threatened a sharp hike in USA tariffs on Chinese goods if China didn't yield to his requests.

USTR said the U.S. delegation would also include under secretaries from the U.S. Departments of Agriculture, Commerce, Energy and Treasury, as well as senior officials from those agencies and the White House. But economists say the US economy could be slowing and uncertainty in global economic fortunes has led to volatile daily swings in stock indexes in recent weeks.

"The negotiations next week are important because they will establish expectations, but we shouldn't expect major breakthroughs", said Mr Myron Brilliant, vice-president of global affairs at the US Chamber of Commerce.

"I think we will make a deal with China", Trump told reporters at the White House after a meeting with Democratic and Republican lawmakers about the USA government shutdown.

The risks to both economies have intensified since the last round of tit-for-tat tariffs in September. Auto sales have dropped for the first time since 1990.

Instead, more than 70 percent of USA firms operating in southern China are putting off further investment there and moving some or all of their manufacturing to other countries.

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Data this week pointed to signs of strain in the USA and China at the end of a year ago. They criticize his tactics but echo US complaints about Chinese industrial policy and market barriers.

United States trade negotiators will "optimistically and constructively communicate with (the) Chinese delegation on the important agreements achieved by the two leaders during the meeting in Argentina", China's Commerce Ministry said in a statement, without giving further details.

The office of the United States Trade Representative also released a statement Friday announcing the delegation that would be representing the US.

Trump reported "big progress" in trade negotiations after a phone call with Xi last week.

The spat has rattled companies and financial markets that worry it would drag on global economic growth that is showing signs of slowing.

Chinese officials are unhappy with USA curbs on exports of "dual use" technology with possible military applications. The shares closed at US$148.26 on Friday, down about 5.1 percent for the week. It said the threat of US tariff hikes was the "dominating factor" for almost half, while others moved due to higher costs or tighter environmental regulation. But few are moving those operations back home, according to in October by the American Chamber of Commerce in South China. On Thursday, privately held grains trader Cargill announced worse-than-expected results out of China.

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