China’s state media Xinhua News Agency on Monday published a Chinese version of a commentary on the just-concluded China-U.S. Trade Talks. The commentary is titled China-U.S. Trade and Economic Talks Bring Relief and Confidence to Global Economy(新华时评丨中美经贸会谈为全球经济纾压增信). The following is a translation of the article.
China-U.S. high-level meeting on economic and trade affairs was held in Switzerland from May 10 to 11 local time, drawing widespread international attention. Through joint efforts, the two sides engaged in candid, in-depth, and constructive discussions across multiple fields, reaching a series of common understandings and achieving substantive progress. This marks a crucial step toward resolving differences through equal-footing dialogue and consultation, laying the groundwork and creating favorable conditions for narrowing gaps and deepening future cooperation.
China and the U.S. collectively account for over 1/3 of global GDP, and their bilateral trade represents about 1/5 of worldwide trade volume. Their economic relationship carries vital significance not only for both nations but also for the stability and development of the global economy. At a time when the global economic recovery faces headwinds and geopolitical tensions are on the rise, maintaining open communication channels between Washington and Beijing has become imperative. The fact that the world's two largest economies have returned to the negotiating table sends a positive signal to the international community. The talks in Switzerland, which concluded with meaningful progress, demonstrated an effort by both countries to navigate differences and pursue mutual understanding in a challenging global economic environment. Both sides agreed to establish a trade consultation mechanism. WTO Director-General Ngozi Okonjo-Iweala commended the outcome of the meeting, calling it “a positive result” and “an important step forward.”
Over the past month, the tariff war unilaterally initiated by the United States has had far-reaching impacts on both the Chinese and U.S. economies, with ripple effects across the globe. American businesses and consumers have borne the brunt of the increased tariffs, facing higher costs and widespread supply chain disruptions, while inflationary pressures have continued to mount. On a broader scale, the conflict has destabilized global industrial and supply chains, undermined the rules-based multilateral trading system, and amplified recession risks for the world economy. International institutions such as the International Monetary Fund and the World Bank have repeatedly warned that protectionism is one of the key threats to global economic recovery. In this context, the latest high-level talks have undoubtedly dispelled the gloom over a global economy standing at a crossroads.
The holding of the talks and the positive outcomes have once again underscored that equal dialogue should be the fundamental approach for major countries to address their differences. Differences between China and the U.S. are to be expected, given their distinct national circumstances. The key, however, lies in respecting each other’s core interests and major concerns, and in finding appropriate ways to resolve issues. Through the dialogue on an equal footing, both sides can clearly express their positions on key issues of concern, clarify facts, explain the rationale behind their concerns, explore the underlying causes, and discuss possible solutions. Issues that emerge during the course of development should be resolved through continued development, and short-term challenges may fade when viewed from a medium and long-term perspective. No country would sacrifice its legitimate development interests simply to meet the unreasonable demands of another. However, this does not preclude the possibility of identifying solutions through equal and constructive dialogue.
The reason both sides were able to reach a series of important understandings lies in the mutually beneficial and win-win nature of China-U.S. economic and trade relations. Over the past decades, cooperation between China and the U.S. has proven to be beneficial to both sides, while confrontation has harmed both. The two economies are highly complementary in terms of industrial structure, resource endowments, and market demand, with far greater space for cooperation than conflict.Whether in goods trade, services, or two-way investment, bilateral economic engagement has delivered tangible benefits to businesses and people in both countries. China has consistently maintained that the only viable approach to resolving economic and trade disputes between the two nations lies in conducting equal and rational dialogues and consultations based on mutual respect, through which acceptable solutions for both sides can be reached.
Any form of unilateral pressure or extreme coercion not only fails to resolve the issues but also complicates the situation and ultimately undermines the fundamental interests of both nations.
Talks in Switzerland can be seen as an opportunity for China to reiterate this core idea to the U.S. Through full communication and even exchanges, Washington needs to realize that there are no winners in a trade war, that China is not willing to fight a trade war, but it will not be afraid to fight one since it has always been standing steadfast consistently in safeguarding its core interests and international justice. More importantly, such exchanges will help the U.S. adopt a longer-term perspective on the bilateral relationship and fully recognize that maintaining the healthy, stable, and sustainable development of China-U.S. economic and trade relations serves the fundamental interests of both sides and their peoples and also benefits the world economy. Constructive cooperation with China to jointly expand the pie of cooperation far better serves America's long-term interests than attempts to contain China's development through pressure. Restoring China-U.S. economic and trade relations to a healthy, stable, and sustainable development track requires mutual efforts and meeting each other halfway.
This high-level meeting marks a constructive step toward mending bilateral economic and trade relations, and has laid a solid foundation for subsequent communication and negotiations. However, as the Chinese saying goes, “It takes more than one cold day for the river to freeze three feet deep”. Similarly, the structural contradictions and deep-seated differences between the two countries cannot be solved overnight.
Therefore, when it comes to the result of the talks in Switzerland—and the future trajectory of China-U.S. economic and trade relations—we should maintain rational expectations. The very fact that both sides are willing to sit down and talk is, in itself, a step forward and a necessary gesture to prevent further escalation. However, it is clearly unrealistic to expect that one or two rounds of dialogue will eliminate all differences.
While we welcome the resumption of dialogue, we must also be mentally prepared for a process that will be long, complex, and difficult to eliminate differences between the two sides. Both sides should work to sustain the current momentum of dialogue, manage differences through equal consultation, build consensus over time, and strengthen mutual trust.
What is important is that both sides should handle the most important bilateral relationship in the world with a longer-term vision and broader mindset, bearing in mind the fundamental well-being of the people of the two countries and the cause of world peace and prosperity. It is not only the responsibility of China and the U.S. to strengthen cooperation on the basis of mutual benefit and to manage differences on the premise of mutual respect, but also the general expectation of the international community. The talks are a step in a long journey, and the road ahead still needs to be explored and shaped jointly by both sides with wisdom and courage.
The views don't necessarily reflect those of BeijingReviewDossier.
