Why the White House’s approach to China trade talks may make it harder to reach a deal

Internal divisions may hamper chance of agreement while tariffs on close US allies could embolden China to take a tougher line

By Wendy Wu
04 June, 2018

China and the US left the thorniest issues untouched during their latest round of trade talks, with the White House’s internal divisions hampering the chances of reaching a deal, business insiders and observers have said.

Analysts also said that Donald Trump administration’s decision to impose tariffs on its aluminium and steel imports from its allies may have heightened the risk of a global trade war by alienating its potential supporters and emboldening China to take a tougher line with the US.

Although China had previously agreed to buy more US goods, agreement on the details of that deal have yet to be reached.

Not only did the latest talks in Beijing this past weekend fail to clarify this issue, Beijing has since threatened to rescind the offer if the Trump administration proceeds with a plan to slap tariffs on US$50 billion of Chinese goods.

Read more at http://www.scmp.com/news/china/diplomacy-defence/article/2149236/why-white-houses-approach-china-trade-talks-may-make-it?