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China could ink $12 billion in trade deals with US

(Reuters)
Updated: 2007-04-18 13:46

China could sign import deals worth as much as $12 billion during a Strategic Economic Dialogue with the United States next month.

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The policy-setting forum chaired by US Treasury Secretary Henry Paulson and Chinese Vice Premier Wu Yi is to meet in Washington in May, amid complaints from US officials that the trade deficit with China, which hit $232.5 billion in 2006, is hurting economic ties.

The proposed procurement delegation would be led by Vice Minister of Commerce Ma Xiuhong, and cover a range of US agricultural and industrial products, including soybeans, cotton, machinery and electronic products.

Some $16 billion in deals were signed last year when Chinese President Hu Jintao went to Washington.

A number of US lawmakers have been pushing legislation to address what they see as unfair trading practices by China, and many politicians and manufacturers believe its yuan currency is undervalued, giving Chinese companies an unfair advantage in global markets.

Economic ties between China and the United States are also under pressure over a US complaint to the World Trade Organisation over Chinese counterfeiting and commercial piracy, a complaint Beijing says is groundless.



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