Damage will be widespread if Beijing trade talks fail

Trump's trade negotiators finally get started with Beijing as 90-day clock ticks

A U.S. guided-missile destroyer sailed near the disputed Paracel Islands in the South China Sea claimed by China as U.S. officials joined trade talks in Beijing to seek a de-escalation in the Sino-U.S. trade war.

U.S. officials are meeting their counterparts in Beijing this week for the first face-to-face talks since U.S. President Donald Trump and China's President Xi Jinping agreed in December to a 90-day truce in a trade war that has roiled global markets.

"We urge the USA to immediately stop such provocative actions", Chinese foreign ministry spokesman Lu Kang told a regular press briefing, adding that Beijing had lodged a diplomatic complaint with Washington.

He said, "As for whether this move has any impact to the ongoing China-U.S. trade consultations.to properly resolve existing issues of all kinds between China and the U.S.is good for the two countries and the world".

The operation came as Chinese and United States officials kicked off talks in Beijing to find a solution to a bitter trade war that prompted the two sides to impose tariffs past year on more than $300 billion in total two-way trade.

In March, when the tariff tit-for-tat was in its infancy, President Trump suggested the USA might impose up to $60 billion worth of tariffs on Chinese goods.

The American side is led by a deputy USA trade representative, Jeffrey D. Gerrish, according to the US government.

If there is no deal by March 1, Washington has said it will go ahead with a sharp hike in tariffs on Chinese goods originally set for January 1.

Financial markets were being lifted early on Monday on expectations that the direct negotiations would lead to an easing in tensions between the two sides.

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Last year, Washington imposed tariff increases of up to 25 percent on $250bn of Chinese imports over complaints Beijing steals or pressures companies to hand over technology. "I really believe they want to make a deal".

It will inevitably be prepared to remove the retaliatory tariffs it placed on U.S. farm products and agree to buy more United States oil and gas and has indicated it is prepared to open up greater access to its system for foreign financial institutions.

"We have a massive trade negotiation going on with China".

But analysts say the 90-day postponement of additional tariff increases is too little time to settle all the disputes that bedevil the two sides' relations, arguing that they face potentially lengthy wrangling over technology and the future of their economic relationship.

Adding to the worries, China's stock market became the world's worst performer previous year, ending with a loss of 28 %.

"I think we will make a deal with China".

However, signs are emerging of an increasing toll on USA industry as well. Apple's stock fell almost 10 percent after the announcement.

It's possible that if Trump, who's making his second trip to Davos as president, doesn't meet with Wang, one or more of his top trade lieutenants will instead.

Ask if he was happy or concerned about the slowing in the world's second largest economy, Ross said, "Not happy nor guilty".

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