U.S.-China trade talks: Where they are and what's at stake

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U.S.-China trade talks: Where they are and what's at stake
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A look at the state of the trade talks, the key issues and their implications ahead of Trump and Xi's meeting at G20:

U.S. President Donald Trump and Chinese President Xi Jinping are due to meet on Saturday at the Group of 20 summit in Japan to try to resurrect a deal to end a costly trade war.

Trump did not agree to any preconditions for his high-stakes meeting with the Chinese president and is maintaining his threat to impose new tariffs on Chinese goods, White House economic adviser Larry Kudlow said on Thursday. Lighthizer told a congressional hearing this month that China also backtracked on commitments on digital trade issues, including U.S. access to cloud computing services in China.

China had offered to bring subsidies in line with World Trade Organization guidelines but had not detailed how it would do that. Another contentious issue was the plan for a regular review of China’s compliance, a mechanism that would maintain the perpetual threat of U.S. tariffs.One of the biggest U.S. concerns is who will dominate future high-technology industries. China is determined to upgrade its industrial base in 10 strategic sectors by 2025, including aerospace, robotics, semiconductors, artificial intelligence and new-energy vehicles.

They say they do not have a problem with China moving up the technology ladder, but they do not want it to happen with stolen or unfairly obtained American know-how or in a market in which Chinese firms have an unfair advantage.Chinese officials generally view the U.S. actions as a broad effort to thwart the Asian country’s rise in the global economy.

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