[Source/Observer Network by Ruan Jiaqi]
Local time on June 9th to 10th, the first meeting of the China-US economic and trade consultation mechanism was held in London. According to the Ministry of Commerce of China, during two rounds of closed-door meetings totaling approximately 16 hours, both sides reached a principled consensus on the framework for implementing the important consensus of the leaders' telephone conversation on June 5th and consolidating the results of the Geneva economic and trade talks, and made new progress in addressing each other's economic and trade concerns.
In response to the question about the rare earth issue, spokesperson He Yadong also stated that as a responsible major country, China fully considers the reasonable needs and concerns of various countries in the private sector, reviews export license applications related to rare earth items in accordance with laws and regulations, has legally approved a certain number of compliant applications, and will continue to strengthen the approval work of compliant applications.
On June 13th, Bloomberg News reported that although US President Trump praised the outcome of the talks as a "game-changing breakthrough," his team admitted that the latest framework of China-US trade measures was actually a confirmation of the terms of the Geneva talks, with many contents still undecided.
Tim Meyer, professor of international trade law at Duke University Law School, said, "In the future, China may occupy a more advantageous position."
Bloomberg News reported that to reach an agreement, the United States withdrew its previous restrictions on Chinese student visas. Trump, who had been sharpening his tools, changed his tone on the 12th, saying that the U.S. welcomed Chinese students to study in America and he supported Chinese students staying in the U.S. and being hired by American companies.
In addition, this repeated game of give-and-take also exposed the high dependence of key American industries on Chinese exports of rare earth magnets. The report noted that Trump clearly indicated the importance of rare earth materials to the U.S., and he seemed more eager than the Chinese side to bring the negotiations back on track, looking forward to speaking with China for months.
The media particularly pointed out that more importantly, Trump's practice of issuing comprehensive tariff threats and then backing down has shown other world leaders what is called a "TACO" (Trade Agreement Chicken Out), meaning "Trump always chickens out." This term has become popular in American investment circles and is widely used.
"This is a Chinese version of TACO," said Scott Kennedy, a China expert at the Center for Strategic and International Studies (CSIS). "They saw him making concessions in previous examples, carefully planned it, bet that he would make concessions, and he indeed did so."
From June 9th to 10th, representatives from China and the U.S. held the first meeting of the China-US economic and trade consultation mechanism in London. Outside the Lancaster Palace in London where the meeting was held, journalists waited. China News Service.
The media reviewed that the China-US talks held in London this week were a continuation of the Geneva talks last month. During this period, Beijing expressed dissatisfaction and protest against several discriminatory restrictive measures newly introduced by the Trump administration, including the issuance of AI chip export control guidelines, the cessation of sales of Chinese design software (EDA) for chips, and the announcement of the revocation of Chinese student visas. Washington urgently sought China's approval for rare earth exports.
At a time when the economic and trade consultations between the two countries seemed to be stalled, on the evening of June 5th, the leaders of China and the U.S. had a phone conversation, pushing both sides to continue seeking solutions through negotiation.
The report pointed out that the joint statement of this week's China-US talks was not the final result of a trade agreement between the two countries, but it might lay the foundation for reaching a broader agreement. This gradual progress contrasts sharply with Trump's previous tough stance of demanding immediate compliance from China, which had exploited the U.S. for years.
Leland Miller, CEO of the research institute "China Beige Book" based in New York and a member of the US-China Economic and Security Review Commission under the Congress, believed that the constant fluctuations in risk would damage Trump's ability to seek concessions from the other party in trade negotiations, especially in negotiations with Beijing. It would also face more challenges in negotiating with other countries.
"We keep heating up, then cooling down, but returning to the starting point doesn't mean going back to zero. In fact, it's a net loss, during which our credibility has been eroded," Miller said.
The media noticed that the entire market reaction was subdued on Wednesday, indicating that investors had become indifferent to Trump's brash trade statements. More voters were also beginning to doubt Trump's trade agenda. A recent poll conducted by Quinnipiac University from June 5th to 9th showed that 57% of voters disapproved of his approach to handling trade issues.
According to a report by CCTV News on June 11th, He Lifeng, the lead negotiator of China's economic and trade affairs and Vice Premier of the State Council, stated that this meeting was an important consultation carried out under the guidance of the strategic consensus reached by the leaders of the two countries on June 5th. China's attitude and position on China-US economic and trade issues are clear and consistent. The essence of China-US economic and trade relations is mutual benefit and win-win. Both countries benefit from cooperation and suffer from confrontation in the economic and trade field. There is no winner in a trade war. China does not want to fight, but it is not afraid to fight. Both sides should resolve economic and trade differences through equal dialogue and mutually beneficial cooperation. China is sincere in economic and trade consultations and also principled.
Looking ahead, both sides need to further play the role of the China-US economic and trade consultation mechanism according to the important consensus and requirements reached in the telephone conversation by the leaders of the two countries, continuously enhance consensus, reduce misunderstandings, and strengthen cooperation. China reiterated that both sides should move toward each other, act as promised, and take actions in good faith and efforts to fulfill commitments, jointly maintaining the hard-won dialogue achievements, continuing communication and dialogue, and promoting the steady and long-term development of China-US economic and trade relations, injecting more certainty and stability into the world economy.
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Original source: https://www.toutiao.com/article/7515329397105918514/
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