Following a series of discussions concerning US-China trade tensions that took place last week in Beijing, the White House delegation has demanded China reduce its trade deficit with the US by $200 billion in addition to other stringent conditions.
Other demands include further access for US investors to the Chinese market and removal of foreign-ownership limits, according to the Financial Times.
In response, Beijing required that Washington support China gaining status as a market economy in the World Trade Organisation, threatening to treat the US as a non-market economy should they not agree.
Despite the two sides’ considerably different stances, there is some hint that compromise is possible. A draft declaration from the Chinese government has said that Beijing would be willing buy more US goods if Washington also reduced its protectionist measures.