Xi Jinping has to back up his words with actions to avoid a trade war, Canada's ambassador to China says

Tan KW

Publish date: Mon, 23 Apr 2018, 05:02 PM

(April 23): China's President Xi Jinping has to back up his words with actions if he wants to avoid a trade war, Canada's ambassador to China told CNBC.

"Xi Jinping has used very strong language in favor of globalization, in favor of freer trade. But it would be good if he could match those statements with actions," ambassador John McCallum said, referring to Xi's speeches at Davos last year and at the Boao forum this year.

"Their actions have not always matched their words. So the more they could act, the more it would help the world to preserve the international system and avoid a descent into a trade war," he added.

The escalating trade tensions between the two largest economies in the world have resulted in China slapping a 25 percent levy on U.S. imports including products such as soybeans, cars and whiskey — a tit-for-tat after President Donald Trump targeted a list of Chinese imports.

China is the biggest export market for Canadian soybeans and while it might be true that Canada might stand to benefit from tariffs on U.S. soybeans , the ambassador told CNBC's Martin Soong that a trade war in general will still have a negative impact on Canada, and the global economy at large.

"Canada is a trading nation, and if the world trading system is in jeopardy, then Canada is hurt," he explained. "So that is why even though we may have certain gains if this occurs, we still hope that there will not be a trade war and a settlement will be reached."

'Our biggest friend'

The ambassador had recently come under fire for his remarks on Canada's relationship with the U.S. and China, by claiming that Ottawa has more in common with Beijing than its neighbor.

He explained that his comments, reported by the Globe and Mail, have been taken out of context, saying: "In the context of our current discussions over trade and globalization, China's policy in some regards is closer to Canada's policy than Canada is to the U.S."

But McCallum reiterated the importance of the U.S. relationship, saying, "the United States has been our largest trading partner and our biggest friend, and none of that will change."

Negotiations over the North American Free Trade Agreement have also not come to fruition, although McCallum said that recent signs are positive that an agreement could be reached.

He's also hopeful for a deal on a free trade agreement with Beijing, but there's a holdup due to differing views on aspects of the deal.

"There was discussion about environment, labour, and gender. And I think the Chinese want a simpler trade deal and we want a more ambitious trade deal and that is why I think those discussions are still ongoing."

"But I do believe both China and Canada would like it to happen at some point, so I'm quite optimistic even though it hasn't happened yet," he concluded. - CNBC

Discussions

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ks55

This fella has no locus standi on Donald Duck's offesive and Xi Jinping's defensive strategies.
Opening up business opportunities only meant for allies, not your enemy trying to strangulate your vision.
What is Xi Jinping's China Dream?
What is wrong with Xi Jinping's Made in China 2025 Strategy?

Yes.
Xi Jinping retaliates with addition 25% on GM cars (make it 50% altogether)
Xi Jinping only tax MB and BMW at 25%, and reducing tariff more gradually.
Why?
Germany is a credible trading partners with China.

Who want to kill ZTE?
Who want to kill Huawei?
Who want to kill Alibaba Cloud?

It is idiotic Donald Duck!

U.S. Treasury Secretary Steven Mnuchin said he’s considering a trip to China amid a trade dispute with Beijing that finance chiefs warn could derail the global economic upswing.

Mnuchin said he’s “cautiously optimistic” of reaching an agreement with China that bridges their differences over trade.

What a joke!

Mnuchin is just a pawn.
He may spend 2 weeks in China, and that will be shoot down by a simple tweet from Donald Duck!
Don't waste your time Mnuchin.
Don't give false hope to Wall Street.
Don't make Wall Street problem to become High Street problem.

US is going to be a country full of beggars just like Greece...............

2018-04-23 18:01

TrippleZ

Long time no economy crisis. The leaders need something bad to happen so they can save the day.

2018-04-23 18:12

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