US Treasury Secretary Janet Yellen kicked off her four-day tour of China on Thursday amidst growing tensions between the two largest economies worldwide. Her visit is seen as a cautious move to alleviate these strains, despite pervasive doubts on both ends.
Yellen was welcomed by a Chinese finance ministry representative and the US envoy to China, Nicholas Burns, in the humid Beijing climate, shortly after a rainstorm provided some respite.
Despite the low expectations of resolving frictions during Yellen's visit, US officials recognize the need for dialogue, particularly when national security concerns are prioritized over economic relationships by both nations.
"A conversation is vital, especially when it concerns matters we might disagree on," stated a US official accompanying Yellen upon arrival in Beijing, dismissing any suggestion that the visit might be futile.
During her visit, Yellen plans to address what the US considers unfair practices by China, such as recent punitive measures against American companies and barriers to market access, the official noted.
Yellen's meetings on Friday include discussions with Premier Li Qiang and influential economy advisor Liu He, considered a key confidante of President Xi Jinping.
Yet, Chinese analysts view the US criticism of their nation's trade practices as hypocritical. Center for China and Globalisation's president, Wang Huiyao, indicated that China cannot continuously endure US sanctions against its companies while maintaining a cordial facade.
The outlook for Yellen's visit was not boosted by her April speech, in which she prioritized US national security interests over economic policy with China. Zhu Feng, a professor of international relations at Nanjing University, expressed to the Global Times that Yellen's focus on national security could imply continued economic and technological pressures on China.
Yellen is expected to reassure China that the US is not in favor of decoupling and will urge the Asian giant to provide more clarity about its new espionage law and show progress in resolving international debt issues, the US official said.
Although significant breakthroughs are unlikely, Yellen will strive to establish new avenues of communication and coordination on economic matters. She will also warn about the implications of providing lethal support to Russia, a claim vehemently denied by China.
Xie Feng, China's ambassador, who met Yellen in Washington on Monday, advised the US to focus more on China's primary economic and trade concerns, including trade tariffs imposed by the Trump administration and sanctions against Chinese firms.
The significance of Yellen's visit, following closely on the heels of Secretary of State Antony Blinken's tour, cannot be underestimated, especially in light of recent military tensions. Their diplomatic missions are key precursors to a potential meeting between Presidents Joe Biden and Xi Jinping at the Asia-Pacific Economic Cooperation gathering in November, held in San Francisco.
