As the world’s leaders prepare for Buenos Aires G20 Summit, Cui Tiankai hints all-out war could be looming.
Although both sides are going to this week’s G20 summit in Buenos Aires hoping for a deal to end the escalating trade war between them, Chinese and U.S. officials have conceded such a deal is highly unlikely despite the looming signs of dire consequences if they fail to do so.
China’s ambassador to Washington added pressure Tuesday, telling Reuters that there will be “dire consequences” if American negotiators continue their attempts to separate the world’s top two economies. Cui Tiankai said he didn’t think a “decoupling” was possible, nor wise:
“I don’t know if people really realize the possible consequences—the impact, the negative impact—if there is such a decoupling.
“The lessons of history are still there. In the last century, we had two world wars, and in between them, the Great Depression. I don’t think anybody should really try to have a repetition of history. These things should never happen again, so people have to act in a responsible way.”
As of this week, the Treasury Department has approximately $15.97 trillion in public debt outstanding, the vast majority of which is held by U.S. taxpayers. Of the small amount held by foreign nations, however, China is by far the biggest investor with $1.15 trillion in holdings.
That is slightly less than the $1.19 trillion held by Beijing at the start of the year.
President Donald Trump’s chief economic adviser, Larry Kudlow, gave a nearly identical assessment of the Chinese negotiating position when asked about it Tuesday. Echoing a U.S. Trade Office report earlier this month, he said “there hasn’t been much of a change in China’s approach.”
The president has already signaled that he is likely to implement tariffs on all Chinese imports.
Full article: Chinese Ambassador Warns of ‘Dire Consequences’ Over Trade War (TruNews)