China stocks gain on trade war hopes

President Donald Trump speaks during a campaign rally in Estero Florida

President Donald Trump speaks during a campaign rally in Estero Florida

Trump has imposed penalty tariffs of up to 25 per cent on $250 billion U.S. of Chinese goods in a dispute over Beijing's plans for state-led development of technology industries.

In the phone call with Trump, Xi also said he and Trump hoped to expand bilateral trade cooperation, he was quoted as saying on CCTV state television.

A Bloomberg report said the U.S. president had asked officials to begin drafting a potential trade agreement with China, citing unnamed sources.

The telephone conversation on Thursday was Trump and Xi's first publicly disclosed call in six months.

Markets moved higher after Bloomberg reported US President Donald Trump wants to reach an agreement with Chinese President Xi Jinping at the Group of 20 nations summit in Argentina later this month.

According to a report by state broadcaster CCTV, Li said China and the U.S. had benefited from cooperation, and that they should respect each other's core interests and concerns.

Trump said he and Xi also had "a good discussion on North Korea".

Xi said he was "very happy" to talk to Trump again and attaches "great importance to good relations with the president", according to China's official Xinhua news agency.

Trump administration officials have said that trade talks with China can not resume until it comes up with specific actions it is willing to take to meet USA demands for sweeping changes to policies on technology transfers, industrial subsidies and market access. Those discussions are moving along nicely with meetings being scheduled at the G-20 in Argentina, ' he tweeted. "We talked about many subjects, with a heavy emphasis on Trade".

Trump said the American economy is doing well and he has been receiving congratulatory message from across the world.

In comments to state media, Xi said he hoped China and the United States would be able to promote a steady and healthy relationship, and that he was willing to meet with Trump in Argentina.

But Trump has not "set in stone" any decisions on escalating tariffs on Chinese goods and may withdraw some duties if there are promising policy discussions with China, White House economic adviser Larry Kudlow said on Wednesday.

"The economic teams of the two countries should strengthen contact, conduct consultations on issues of mutual concern, and push for a mutually acceptable solution to China-US economic and trade issues", Xi said.

"I hope that China and the US will meet each other halfway and will appropriately handle their differences with mutual respect and equal cooperation", stated the Chinese premier.

'We're going way up, and China has been hurt over the last number of months. I think we have a long way to go. "We're doing better than we've ever done".

Recommended News

We are pleased to provide this opportunity to share information, experiences and observations about what's in the news.
Some of the comments may be reprinted elsewhere in the site or in the newspaper.
Thank you for taking the time to offer your thoughts.