INSUBCONTINENT EXCLUSIVE:
BEIJING: China warned Sunday after another round of talks on a sprawling trade dispute with Washington that any deals they produce ``will
not take effect'' if President Donald Trump's threatened tariff hike on Chinese goods goes ahead.
The warning was issued one hour after
Commerce Secretary Wilbur Ross and China's top economic official, Vice Premier Liu He, wrapped up a meeting on Beijing's pledge to narrow
Ross said at the opening of the meeting the two sides had discussed specific American exports Chinese might purchase, but neither side
disclosed details of the talks.
The White House threw the status of the meeting into doubt on Tuesday by renewing a threat to hike tariffs
on $50 billion of Chinese high-tech goods in response to American complaints Beijing steals or pressures foreign companies to hand over
The meeting went ahead despite that but Beijing said it reserved the right to retaliate.
The Chinese statement said the two sides ``achieved
positive and concrete progress'' on Sunday
But it said the process should be ``based on the premise'' the two sides would ``not fight a trade war.''
``If the United States introduces
trade sanctions including a tariff increase, all the economic and trade achievements negotiated by the two parties will not take effect,''
said the statement, carried by the official Xinhua News Agency.
The American Embassy in Beijing didn't immediately respond to a request for
comment.
Trump is pressing Beijing to narrow its politically volatile trade surplus with the United States, which reached a record $375.2
billion last year.
Following a Chinese promise on May 19 to buy more American goods following the latest round of talks, U.S
Treasury Secretary Steven Mnuchin said the dispute was ``on hold'' and the tariff hike would be postponed.
That truce appeared to end with
Tuesday's surprise announcement, which also said the White House will impose curbs on Chinese investment and purchases of U.S
high-tech goods and on visas for Chinese students.
Trump has threatened to raise tariffs on up to $150 billion of Chinese goods
Tuesday's announcement gave no indication whether the other increases might also go ahead.
Private sector analysts say while Beijing is
willing to compromise on its trade surplus, it will resist changes that might threaten plans to transform China into a global technology
competitor.
Ross was accompanied by agriculture, treasury and trade officials
Liu's delegation included China's central bank governor and commerce minister.
``Our meetings so far have been friendly and frank, and
covered some useful topics about specific export items,'' said Ross at the opening of the meeting at the Diaoyutai State Guesthouse, a
walled, leafy compound on Beijing's west side.
