China yesterday promised to rein in steel production flooding global markets and agreed to work with the US in enforcing anti-nuclear sanctions against North Korea, but the two sides ended high-level talks reporting no progress on simmering disputes in the South China Sea.
Envoys from the two sides also failed to agree on what to do about China’s aluminum sector, one of many bloated industries Washington and other trading partners complain are selling products too cheaply overseas, hurting foreign competitors and threatening jobs.
The two-day annual US-China Strategic and Economic Dialogue, a meeting of Cabinet-level foreign affairs, trade and other officials, ended with both sides acknowledging an array of significant issues, including human rights.
Photo: AFP
However, they repeatedly stressed their desire for friendly, productive relations between the world’s two biggest economies.
“While efforts over the past several days cannot resolve our concerns, they do represent real progress,” US Secretary of the Treasury Jack Lew said.
Washington promised to boost its savings rate and investment, especially in infrastructure. The US also promised to pursue “fiscal sustainability,” a reference to narrowing its yawning budget deficits.
For the first time, China agreed to allow US banks to clear yuan-denominated transactions.
Beijing also concurred there is no reason for a sustained weakening, the yuan, Lew said.
That included a commitment to not engage in “competitive devaluations and not target the exchange rate for competitive purposes,” he said.
On the strategic side, US Secretary of State John Kerry pointed to scant concrete progress on sensitive issues ranging from maritime security to North Korea.
“We didn’t agree on everything,” the top US diplomat said.
“The US-China relationship is absolutely vital,’’ Kerry said. “It may well be the most consequential bilateral relationship of nations in the world.’’
In the South China Sea, where China and its neighbors have conflicting claims to territory and possible oil and gas resources, Kerry said he “reiterated America’s fundamental support for negotiations and a peaceful resolution based on the rule of law, as well as our concern about any unilateral steps by any party.”
The governments reaffirmed their commitment to freedom of navigation and overflight, Kerry said.
While the US does not take a position in any of China’s maritime disputes, Kerry said the US believes “all of the claimants should exercise restraint.”
China’s top diplomat, Chinese State Councilor Yang Jiechi (楊潔篪), said Beijing wants to solve disagreements over the region through negotiation.
However, he said such talks should take place among “the countries involved,” and by implication not involve the US.
“China has every right to uphold its territorial sovereignty,” Yang said.
Kerry also raised the matter of human rights, in particular China’s crackdown on lawyers and freedom of religion. He expressed concern about a new law on nongovernmental organizations, urging China to let nongovernmental organizations function across the country.
RETHINK? The defense ministry and Navy Command Headquarters could take over the indigenous submarine project and change its production timeline, a source said Admiral Huang Shu-kuang’s (黃曙光) resignation as head of the Indigenous Submarine Program and as a member of the National Security Council could affect the production of submarines, a source said yesterday. Huang in a statement last night said he had decided to resign due to national security concerns while expressing the hope that it would put a stop to political wrangling that only undermines the advancement of the nation’s defense capabilities. Taiwan People’s Party Legislator Vivian Huang (黃珊珊) yesterday said that the admiral, her older brother, felt it was time for him to step down and that he had completed what he
Taiwan has experienced its most significant improvement in the QS World University Rankings by Subject, data provided on Sunday by international higher education analyst Quacquarelli Symonds (QS) showed. Compared with last year’s edition of the rankings, which measure academic excellence and influence, Taiwanese universities made great improvements in the H Index metric, which evaluates research productivity and its impact, with a notable 30 percent increase overall, QS said. Taiwanese universities also made notable progress in the Citations per Paper metric, which measures the impact of research, achieving a 13 percent increase. Taiwanese universities gained 10 percent in Academic Reputation, but declined 18 percent
UNDER DISCUSSION: The combatant command would integrate fast attack boat and anti-ship missile groups to defend waters closest to the coastline, a source said The military could establish a new combatant command as early as 2026, which would be tasked with defending Taiwan’s territorial waters 24 nautical miles (44.4km) from the nation’s coastline, a source familiar with the matter said yesterday. The new command, which would fall under the Naval Command Headquarters, would be led by a vice admiral and integrate existing fast attack boat and anti-ship missile groups, along with the Naval Maritime Surveillance and Reconnaissance Command, said the source, who asked to remain anonymous. It could be launched by 2026, but details are being discussed and no final timetable has been announced, the source
CHINA REACTS: The patrol and reconnaissance plane ‘transited the Taiwan Strait in international airspace,’ the 7th Fleet said, while Taipei said it saw nothing unusual The US 7th Fleet yesterday said that a US Navy P-8A Poseidon flew through the Taiwan Strait, a day after US and Chinese defense heads held their first talks since November 2022 in an effort to reduce regional tensions. The patrol and reconnaissance plane “transited the Taiwan Strait in international airspace,” the 7th Fleet said in a news release. “By operating within the Taiwan Strait in accordance with international law, the United States upholds the navigational rights and freedoms of all nations.” In a separate statement, the Ministry of National Defense said that it monitored nearby waters and airspace as the aircraft