US and China plan talks on economics, including manufacturing 'overcapacity' issue, Yellen says
China agreed to hold talks that will address a key American complaint about China's economic model, Treasury Secretary Janet Yellen said Saturday on the second day of an official visit to China.
The two sides will hold «intensive exchanges» on more balanced economic growth, according to a U.S. statement issued after Yellen and Chinese Vice Premier He Lifeng held extended meetings over two days in the southern city of Guangzhou.
They also agreed to start exchanges on combating money laundering, the U.S. statement said.
Yellen, who headed to Beijing after starting her five-day visit in one of China's major industrial and export hubs, said the exchange on balanced growth would create a structure to hear each other's views and try to address American concerns about manufacturing overcapacity in China.
«I think the Chinese realize how concerned we are about the implications of their industrial strategy for the United States, for the potential to flood our markets with exports that make it difficult for American firms to compete,» Yellen told reporters after the announcement.
«It's not going to be solved in an afternoon or a month, but I think they have heard that this is an important issue to us.»
China's official Xinhua News Agency said that the two sides had agreed to discuss a range of issues including balanced growth of the United States, China and the global economy as well as financial stability, sustainable finance and cooperation in countering
