China’s No. 2 on Sunday voiced frustration over the direction of trade ties with the United States and called for win-win cooperation.
Premier Li Qiang made the remarks during a weekend visit to Beijing by Senator Steve Daines (R-MT), a close ally of President Donald Trump.
Why It Matters
Daines’ visit—leading a delegation that included business leaders such as Qualcomm CEO Cristiano Amon and FedEx Corp. CEO Raj Subramaniam—was the first by a U.S. lawmaker since the start of Trump’s second term.
The administration moved earlier this month to double its blanket tariff on Chinese goods to 20 percent, citing the flow of deadly opioid fentanyl into the country. Chinese officials have repeatedly accused the U.S. of weaponizing trade.
Newsweek reached out to China’s Foreign Ministry by email with a request for comment.
What To Know
U.S.-China ties are at a crossroads, Chinese state media cited Li as saying Sunday during his meeting with the visiting delegation.
Li said there are no winners in a trade war and warned that pursuing tariffs would not lead to prosperity.
Li added that trade imbalances and other areas of concern should be addressed through deeper cooperation—an apparent reference to the U.S. trade deficit with China.
The U.S. trade deficit with China, long a bugbear for Trump, stood at $295 billion last year.
Trump has pledged to usher in a new golden age of American manufacturing. Economists have pointed out that manufacturing’s decline as a share of U.S. GDP—despite gains in output and productivity—is part of a long-term structural shift from an economy driven by agriculture to manufacturing and then to services.
“China always welcomes companies from all over the world, including the United States, to share development opportunities in China, and will actively address their legitimate demands, treat domestic and foreign companies as equals, and continue to foster a sound business environment,” Li said.
According to a statement from Daines’ office, the senator reiterated Trump’s call to curb Chinese exports of chemical precursors used to manufacture fentanyl bound for the U.S., where it has been blamed for causing tens of thousands of deaths each year.
Chinese state media did not specify whether Li directly responded to the fentanyl issue during the meeting.
Earlier reports cited Chinese officials familiar with the matter who expressed frustration over the lack of clear demands from Washington on what specific actions would be required to lift the new tariffs.
Chinese authorities earlier this month released a list of actions they say have been taken, including crackdowns on the precursor industry and engagement in multiple high-level discussions with U.S. officials.
A tariff is essentially a tax on trade, typically paid by importers, who often pass the added cost to consumers in the form of higher prices.
What People Are Saying
The office of Steve Daines said in a statement: “Senator Daines appreciated Premier Li for meeting with the CEOs of seven American companies who shared their decades-long commitment to doing business in China as well as their current challenges.
“The senator also emphasized President Trump’s call for decisive action from China to stope the flow of fentanyl precursors and to end their devastating impact on the American people.”
What Happens Next
Sunday’s meeting may help pave the way for face-to-face talks between Trump and President Xi Jinping, similar to how former Secretary of State Antony Blinken and other officials laid the groundwork for a long-delayed Biden-Xi summit in San Francisco in late 2023 at the height of U.S.-China tensions.
Trump has suggested that Xi may visit the U.S. in the “not-too-distant future,” though no details have emerged on any negotiations toward such a meeting.
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