Wei Jianguo: Two-day Consultation Opens the China-US Cooperation

The China-US economic and trade consultation ended in Washington on January 31. Some people say that the two sides should come up with a long list to show the success of the consultations. I disagree with this view. The consultations between the two sides are of great significance to the bilateral cooperation in the future because it provides China and the US with a new model to deal with contradictions and disputes. Or we can say that the two sides have found a new way to launch new economic and trade cooperation amid the current global economic downturn and slow economic recovery.

In addition to the hard work of the Chinese and US teams, the following three reasons will explain why great results could be achieved in just two days.

First, the US changed its aggressive and arrogant attitude. The consultation is based on equality and mutual trust, and are problem-oriented. It started with the increased tariff, and followed by such issues as intellectual property protection, expansion of foreign companies’ accession to China, and service trade cooperation. Generally speaking, the consultation process is relatively smooth.

Second, the two sides have a clear estimation of the current situation and a better understanding of what the other party is trying to achieve. At present, global companies are betting on the recovery and growth of the China and US economies, especially American companies, which not only value China’s current economic growth of 6.6%, but also the future of the Chinese market with 400 million middle-income families. From agricultural products to Boeing aircraft, from Buick to Intel chips, various industries in the United States are optimistic about the future of the Chinese economy. China’s future reform and opening up, especially the strengthening of government services, the establishment of the world’s best business environment, and further opening up in the financial services sector, are attracting more attention from more global retailers.

The recent decline in the US stock market and the weakening effect of Trump’s tax cuts have put a lot of pressure on the US team. From the Chinese side, however, this year marks the 70th anniversary of the founding of the people’s republic of China, and the 40th anniversary of reform and opening up. It is a crucial year for promoting high-quality economic development through a higher level of opening up. China is well-prepared to work with the US so long as the demands and wishes of the US are in line with China’s strategic direction. The US has witnessed China’s efforts in opening its market and promoting world economic recovery, it should also understand that China needs more time. Although the consultations have experienced some difficulties, the world can see that the entire consultation process is moving in a positive direction.

Thirdly and most importantly, the Chinese and US leaders reached a consensus at the G20 summit in Argentina on December 1st and the current wave of turmoil in the global economy prompted the teams to speed up their works according to the schedule set by the two leaders.

The consultation has brought China-US cooperation a big step forward. In the next stage, the two sides will also be subjected to various global pressures and interference from domestic forces in the United States. However, I believe that the two sides will propose important measures to promote greater success in the consultations. The consultation will have a positive impact on the global economy, stock markets and economic recovery.