Despite bilateral tensions, record high US-Chinese trade last year showed there was “ample room” to engage in trade and investment, and it was critical to focus on areas of common interest and address disagreements through dialogue, Yellen told Chinese Premier He Lifeng at the start of a meeting that a Treasury official said would last for more than three hours.
“Amid a complicated global economic outlook, there is a pressing need for the two largest economies to closely communicate and exchange views on our responses to various challenges,” Yellen told He, China’s recently appointed economy czar. Yellen told a group of female economists on Saturday she was “in Beijing at this critical time because, for all the disagreements between our nations, President Biden and I believe it is in the best interests of our peoples to put our relationship on a better track and to maintain open and honest lines of communication”.
Before Yellen’s arrival, China this week abruptly announced export controls on two metals widely used in semiconductors and electric vehicles in the name of protecting its national security and interests.