US Treasury Secretary Janet Yellen has concluded a four-day visit to China, aimed at rebuilding bridges between the two nations. The trip marks a continuation of high-level dialogue, following Secretary of State Antony Blinken's visit in June, where both sides pledged to stabilise relations.
Yellen described her talks with China's new economic chief, He Lifeng, as 'direct, substantive and productive', while acknowledging 'significant disagreements'. She emphasised that the Biden administration does not seek 'great power conflict' or to 'decouple' economies, contrasting with the Trump era's hostile tone.
However, Beijing remains wary of US actions, particularly export controls on microchips used in artificial intelligence and military technologies. The US is expanding these restrictions and urging allies to limit China's access to cutting-edge semiconductors, citing national security concerns.
Despite the improved dialogue, experts caution that the relationship remains fragile. Incidents like the 'spy balloon' affair or naval close calls could easily derail progress. Both sides face a long-term challenge in managing a complex and delicate bilateral relationship.
