Tag Archives: World Leaders

Turkey’s Erdogan to meet U.S. President Trump on May 16-17

FILE PHOTO: Turkish President Tayyip Erdogan speaks during a news conference in Istanbul, Turkey, late April 16, 2017. REUTERS/Murad Sezer/File Photo

ANKARA (Reuters) – Turkish President Tayyip Erdogan said on Thursday he would meet his U.S. counterpart Donald Trump in Washington on May 16-17, in their first meeting since Trump took office in January.

Ties between the United States and Turkey have deteriorated sharply since a failed military coup in July and disagreements over U.S. support for a Kurdish militia group fighting Islamic State in Syria. Turkey sees the group as an extension of the outlawed PKK, which has waged a three-decade insurgency for Kurdish autonomy in southeastern Turkey.

Ankara is also pressing for the extradition of Fethullah Gulen, a Muslim cleric living in the United States who is accused by Erdogan of engineering the failed coup.

However, Erdogan sees prospects for improvement in ties between the NATO allies under Trump. The two leaders have talked on the telephone three times since Trump took office in late January, including a call on Monday after Erdogan secured a narrow win in a referendum on constitutional changes to give the president sweeping new powers.

Speaking in an interview with broadcaster A Haber, Erdogan said challenging the results of the referendum was beyond the remit of Turkey’s Constitutional Court and the European Court of Human Rights, after Turkey’s main opposition vowed to take legal action against what it said were irregularities.

“This is nothing but an attempt to make an election with 86 percent participation into a controversial matter,” he said.

Under the changes, the president will appoint the cabinet and vice-presidents and select and remove senior civil servants without parliamentary approval. Erdogan will also be allowed to reassume leadership in the AK Party he co-founded, where under the existing order he is nominally committed to party neutrality.

(Reporting by Ece Toksabay and Tuvan Gumrukcu; Editing by Isabel Coles)

Iran foreign minister says US must meet own obligations for nuclear deal

FILE PHOTO: Iranian Foreign Minister Mohammad Javad Zarif speaks to the media in Tbilisi, Georgia, April 18, 2017. REUTERS/David Mdzinarishvili

BEIRUT (Reuters) – Iranian Foreign Minister Mohammad Javad Zarif said on Thursday the United States should meet its own obligations agreed in a landmark nuclear deal in 2015 rather than making accusations against the Islamic Republic.

U.S. Secretary of State Rex Tillerson on Wednesday accused Iran of “alarming ongoing provocations” to destabilise countries in the Middle East as the Trump administration launched a review of its policy towards Tehran that will include the 2015 nuclear deal. [nL1N1HR14B]

In a letter to House of Representatives Speaker Paul Ryan, the top Republican in Congress, Tillerson said on Tuesday that Iran remained compliant with the nuclear accord, but there were concerns about its role as a state sponsor of terrorism.

In the first reaction to Tillerson’s remarks from a senior Iranian official, Zarif tweeted that the United States should “fulfill its own commitments”.

Under the nuclear deal, the State Department must notify Congress every 90 days on Iran’s compliance under the so-called Joint Comprehensive Plan of Action (JCPOA). It was the first such notification under U.S. President Donald Trump.

In his tweet, Zarif also addressed Tillerson’s terrorism charge: “Worn-out US accusations can’t mask its admission of Iran’s compliance w/ JCPOA.”

Iran helped to create and continues to fund Hezbollah, the Lebanese military and political organization which the United States has listed as a terrorist organization.

Both Iran and Hezbollah are currently fighting in support of Syrian President Bashar al Assad’s forces. Iran has also sent military advisers and fighters to neighbouring Iraq, where they are taking part in the Baghdad government’s operations against Islamic State.

Iranian hardliners have regularly criticized Zarif and President Hassan Rouhani for their role in negotiating the 2015 nuclear deal, which they see as capitulation to Western powers.

During his presidential campaign, Trump called the nuclear agreement “the worst deal ever negotiated”, raising questions over whether he would rip it up once he took office.

The historic deal between Iran and six major powers restricts Tehran’s nuclear programme in exchange for the lifting of international oil and financial sanctions against the Islamic Republic.

The Trump administration’s inter-agency review of policy towards Iran will examine whether the lifting of sanctions against Tehran is in the U.S. national security interests.

(Reporting By Babak Dehghanpisheh; editing by John Stonestreet and Gareth Jones)

China’s Xi restructures military, consolidates control

Chinese President Xi Jinping waves as he reviews the army, at the beginning of the military parade marking the 70th anniversary of the end of World War Two, in Beijing, China, September 3, 2015. REUTERS/Damir Sagolj

BEIJING (Reuters) – Chinese President Xi Jinping has announced a military restructure of the People’s Liberation Army (PLA) to transform it into a leaner fighting force with improved joint operations capability, state media said.

Centered around a new, condensed structure of 84 military units, the reshuffle builds on Xi’s years-long efforts to modernize the PLA with greater emphasis on new capabilities including cyberspace, electronic and information warfare.

As chair of the Central Military Commission, Xi is also commander-in-chief of China’s armed forces.

“This has profound and significant meaning in building a world-class military,” Xi told commanders of the new units at the PLA headquarters in Beijing, according to the official Xinhua news agency report late on Tuesday.

All 84 new units are at the combined-corps level, which means commanders will hold the rank of major-general or rear-admiral, the official China Daily reported Wednesday, adding that unit members would likely be regrouped from existing forces given the Chinese military was still engaged in cutting its troops by 300,000, one of the wide-ranging military reforms introduced by Xi in late 2015.

Those reforms include establishing a joint operational command structure by 2020 and rejigging existing military regions, as well as streamlining troop numbers particularly in non-combat facing roles.

The previous seven military area commands were regrouped into five, and the four military departments – staff, politics, logistics and armaments – were reorganized into 15 agencies last year. The 84 units will come under the 15 agencies.

Retired PLA Major-General Xu Guangyu, a senior researcher at the Beijing-based China Arms Control and Disarmament Association, said the restructure represented the second major phase of Xi’s reforms.

“Since military reforms started it has been one step at a time,” Xu told Reuters. “The high-level framework is now in place, now this is the second phase targeting the entire mid-ranking levels of the military.”

Beijing has been moving rapidly to upgrade its military hardware as it grows increasingly assertive about its sovereignty claims in the South China Sea and as it seeks to expand its military prowess overseas.

Chinese media reports have speculated that the country’s second aircraft carrier – and its first built at home – will be launched on Sunday, the navy’s founding anniversary.

Xi has also made rooting out deeply entrenched corruption in the military a top priority. Dozens of senior officers have been investigated and jailed.

(Reporting by Philip Wen; Editing by Michael Perry)

China’s Xi urges trade cooperation in first meeting with Trump

U.S. President Donald Trump and First Lady Melania Trump welcome Chinese President Xi Jinping and first lady Peng Liyuan at Mar-a-Lago estate in Palm Beach, Florida, U.S., April 6, 2017. REUTERS/Carlos Barria

By Steve Holland

PALM BEACH, Fla. (Reuters) – Chinese President Xi Jinping urged cooperation with the United States on trade and investment on Thursday, inviting President Donald Trump to visit China in a cordial start to their first meeting likely to broach sensitive security and commercial issues.

Trump has said he wants to raise concerns about China’s trade practices and press Xi to do more to rein in North Korea’s nuclear ambitions during his two-day visit to the Spanish-style Mar-a-Lago resort in Palm Beach, Florida, though no major deals on either issue are expected.

The two sides should promote the “healthy development of bilateral trade and investment” and advance talks on a bilateral investment agreement, Xi said, according to a statement on China’s Foreign Ministry website.

“We have a thousand reasons to get China-U.S. relations right, and not one reason to spoil the China-U.S. relationship,” Xi told Trump.

Trump accepted Xi’s invitation to China later this year, state news agency Xinhua news agency cited officials as saying on Friday.

Xi and his wife, Peng Liyuan, joined Trump and his wife, Melania, at a long table in an ornate candle-lit private dining room festooned with red and yellow floral centerpieces, where they dined on pan-seared Dover sole and New York strip steak.

Trump, a New York real estate magnate before he ran for office, joked before dinner: “We’ve had a long discussion already, and so far I have gotten nothing, absolutely nothing. But we have developed a friendship – I can see that – and I think long term we are going to have a very, very great relationship and I look very much forward to it.”

The fanfare over the summit on Thursday was overshadowed by another pressing foreign policy issue: the U.S. response to a deadly poison gas attack in Syria. As Trump and Xi were wrapping up dinner, U.S. forces fired dozens of cruise missiles at a Syrian airbase from which it said the chemical weapons attack was launched this week, an escalation of the U.S. military role in Syria that swiftly drew sharp criticism from Russia.

In Beijing, China’s Foreign Ministry urged all parties in Syria to find a political settlement.

Trump and Xi were expected to get into more detailed discussions about trade and foreign policy issues on Friday, concluding their summit with a working lunch.

Trump promised during the 2016 presidential campaign to stop what he called the theft of American jobs by China and rebuild the country’s manufacturing base. Many blue-collar workers helped propel him to his unexpected election victory in November and Trump wants to deliver for them.

“We have been treated unfairly and have made terrible trade deals with China for many, many years. That’s one of the things we are going to be talking about,” Trump told reporters ahead of the meeting.

The bilateral investment treaty mentioned by Xi, talks on which began during former president George W. Bush’s administration and resumed under Barack Obama, has received little attention since Trump took office.

Trump is still finding his footing in the White House and has yet to spell out a strategy for what his advisers called a trade relationship based on “the principle of reciprocity.”

He brought his top economic and national advisers to Florida for the meeting, including Defense Secretary Jim Mattis, Treasury Secretary Steven Mnuchin, and Commerce Secretary Wilbur Ross.

“Even as we share a desire to work together, the United States does recognize the challenges China can present to American interests,” said Secretary of State Rex Tillerson, also in Florida for the meeting.

Trump’s daughter, Ivanka, and her husband, Jared Kushner, who both work at the White House, also were among the dinner guests.

DIFFERING PERSONALITIES

The summit brings together two leaders who could not seem more different: the often stormy Trump, prone to angry tweets, and Xi, outwardly calm, measured and tightly scripted, with no known social media presence.

What worries the protocol-conscious Chinese more than policy clashes is the risk that the unpredictable Trump could publicly embarrass Xi, after several foreign leaders experienced awkward moments with the new U.S. president.

“Ensuring President Xi does not lose face is a top priority for China,” a Chinese official said.

The most urgent problem facing Trump and Xi is how to persuade nuclear-armed North Korea to halt unpredictable behavior like missile test launches that have heightened tensions in South Korea and Japan.

North Korea is working to develop an intercontinental ballistic missile capable of hitting the United States.

Trump has threatened to use trade to try to force China to exert influence over Pyongyang.

“I think China will be stepping up,” Trump told reporters on Thursday. Beijing says its influence is limited and that it is doing all it can.

The White House is reviewing options to pressure Pyongyang economically and militarily, including “secondary sanctions” against Chinese banks and firms that do the most business with Pyongyang.

A long-standing option of pre-emptive strikes remains on the table, but despite the tougher recent U.S. talk, the internal review “de-emphasizes direct military action,” the U.S. official said, speaking on condition of anonymity.

Analysts believe any military action would likely provoke severe North Korean retaliation and massive casualties in South Korea and Japan and among U.S. troops stationed there.

NO GRAND BARGAIN ON TRADE

On trade, U.S. labor leaders say Trump needs to take a direct, unambiguous tone in his talks with Xi.

“President Trump needs to come away from the meeting with concrete deliverables that will restore production and employment here in the U.S. in those sectors that have been ravaged by China’s predatory and protectionist practices,” said Holly Hart, legislative director for the United Steelworkers union.

A U.S. administration official told Reuters that Washington expects to have to use legal tools to fight for U.S. companies, such as pursuing World Trade Organization lawsuits.

“I don’t expect a grand bargain on trade. I think what you are going to see is that the president makes very clear to Xi and publicly what we expect on trade,” a U.S. official told Reuters, speaking on condition of anonymity.

Trump has often complained Beijing undervalues its currency to boost trade, but his administration looks unlikely to formally label China a currency manipulator in the near term – a designation that could come with penalties.

(Additional reporting by David Brunnstrom, Matt Spetalnick, Roberta Rampton, Ayesha Rascoe and Mohammad Zargham in Washington, Gui Qing Koh in New York, Michael Martina in Beijing and William Mallard in Tokyo; Editing by Lisa Shumaker, James Dalgleish and Nick Macfie)

Little progress reining in North Korea, U.S. commander says before Trump-Xi summit

An underwater test-firing of a strategic submarine ballistic missile. KCNA via REUTERS

By Tim Kelly and Ju-min Park

TOKYO/SEOUL (Reuters) – Diplomatic and economic measures taken to rein in North Korea’s missile program have not had the desired effect, a senior U.S. military commander said on Thursday after the North’s latest test triggered a flurry of calls among world leaders.

U.S President Donald Trump led calls with leaders and senior officials from Japan and South Korea on Thursday to discuss the latest provocation from Pyongyang, hours before Trump begins a much-anticipated summit with Chinese counterpart Xi Jinping.

“Up to this point I think it is fair to say … that economic and diplomatic efforts have not supported the progress people have been anticipating and looking forward to,” U.S. Pacific Fleet Commander Admiral Scott Swift said in Tokyo, where he was meeting Japanese Self Defence Force commanders and foreign ministry officials.

North Korea’s nuclear and missile programs will be high on the agenda when Trump and Xi meet at Trump’s Mar-a-Lago resort in Florida later on Thursday, with anger in Beijing simmering over the deployment of an advanced U.S. anti-missile system in South Korea.

Analysts have said Wednesday’s launch of a ballistic missile from North Korea’s east coast probably took place with the Trump-Xi summit in mind as the reclusive state presses ahead in defiance of United Nations resolutions and sanctions.

In a phone call with Japanese Prime Minister Shinzo Abe on Thursday, Trump again said that all options were on the table when it came to North Korea’s continued missile tests.

Swift said a military response remained among those options.

“That decision would be up to the president,” he told reporters. “The military was always an option.”

Tensions on the Korean peninsula and the Trump-Xi summit began to worry markets on Thursday, with the dollar and Wall Street shares slipping.

“The market is only starting to factor in recent developments regarding North Korea, and it now wants to figure out the geopolitical implications of the U.S.-China summit,” said Shusuke Yamada, a senior strategist at Bank of America Merrill Lynch in Tokyo.

“DANGEROUS PROVOCATION”

Abe said the two leaders had agreed that North Korea’s latest ballistic missile launch was “a dangerous provocation and a serious threat”.

He told reporters at his Tokyo residence he was watching to see how China would respond to Pyongyang after Xi meets Trump.

The White House said in a statement after the Abe call Trump “made clear that the United States would continue to strengthen its ability to deter and defend itself and its allies with the full range of its military capabilities”.

Trump has repeatedly said he wants China to do more to exert its economic influence over its unpredictable ally in Pyongyang to restrain its nuclear and missile programs, but China denies it has any overriding influence on North Korea.

On Sunday, Trump held out the possibility of using trade as a lever to secure Chinese cooperation, while suggesting Washington might deal with Pyongyang’s nuclear and missile programs on its own if need be.

Any launch of objects using ballistic missile technology is a violation of U.N. Security Council resolutions. The North has defied the ban, saying it infringes on its sovereign rights to self-defense and the pursuit of space exploration.

In another call on Thursday, Trump’s national security adviser H.R. McMaster told his South Korean counterpart that Washington remained committed to the deployment of the Terminal High Altitude Area Defense (THAAD) system in South Korea.

South Korea and the United States say the sole purpose of the THAAD system is to defend against missile launches from North Korea but China says the system’s powerful radar could penetrate into its territory.

The United States began deploying the first elements of the THAAD system in South Korea last month, despite angry opposition from China.

South Korean officials said McMaster discussed the North’s latest missile launch and the Trump-Xi summit in a call with his counterpart in Seoul, Kim Kwan-jin.

“Both sides agreed to pursue … plans in order to substantially strengthen the international community’s sanctions and pressure on North Korea,” South Korea’s presidential Blue House said in a statement.

” … both agreed to push forward the deployment of THAAD by U.S. forces in Korea,” it said.

U.S. officials said the missile launched on Wednesday appeared to be a liquid-fueled, extended-range Scud missile that only traveled a fraction of its range before spinning out of control.

They said it flew about 60 km (40 miles) from its launch site near Sinpo, a port city on the North’s east coast where a submarine base is located.

As well as a growing list of ballistic missile launches, North Korea has also conducted two nuclear weapons tests since January 2016. (For a graphic on North Korea’s missile launches, see: http://tmsnrt.rs/2m9l4oj)

(This story has been refiled to correct spelling of Bank of America Merrill Lynch strategist’s first name to Shusuke in paragraph 10)

(Additional reporting by William Mallard, Kiyoshi Takenaka and Shinichi Saoshiro in TOKYO Eric Beech in WASHINGTON; Editing by Paul Tait)

Trade, North Korea pose challenges as Trump prepares to meet China’s Xi

Donald Trump and Chinese President Xi Jinping. REUTERS/Jonathan Ernst/Aly Song

By Steve Holland and Matt Spetalnick

WASHINGTON (Reuters) – U.S. President Donald Trump holds his first meeting with Chinese President Xi Jinping on Thursday facing pressure to deliver trade concessions for some of his most fervent supporters and prevent a crisis with North Korea from spiraling out of control.

The leaders of the world’s two biggest economies are to greet each other at the president’s Mar-a-Lago retreat in Palm Beach, Florida, late in the afternoon and dine together with their wives, kicking off a summit that will conclude with a working lunch on Friday.

Trump promised during the 2016 campaign to stop what he called the theft of American jobs by China and rebuild the country’s manufacturing base. Many blue-collar workers helped propel him to his unexpected election victory on Nov. 8 and Trump wants to deliver for them.

The Republican president tweeted last week that the United States could no longer tolerate massive trade deficits and job losses and that his meeting with Xi “will be a very difficult one.”

Trump, a former real estate magnate is still finding his footing in the White House and has yet to spell out a strategy for what his advisers called a trade relationship based on “the principal of reciprocity.”

White House officials have set low expectations for the meeting, saying it will set the foundation for future dealings.

U.S. labor leaders say Trump needs to take a direct, unambiguous tone in his talks with Xi.

“President Trump needs to come away from the meeting with concrete deliverables that will restore production and employment here in the U.S. in those sectors that have been ravaged by China’s predatory and protectionist practices,” said Holly Hart, legislative director for the United Steelworkers union.

International Association of Machinists President Robert Martinez said the United States continued to lose manufacturing jobs to the Chinese, saying: “It’s time to bring our jobs home now.”

Some Democratic lawmakers were eager to pounce on Trump on trade.

“We are eager to understand your plans to correct our current China trade policies and steer a new course,” said Democratic U.S. Representative Jim McGovern of Massachusetts.

DIFFERING PERSONALITIES

The summit will bring together two leaders who could not seem more different: the often stormy Trump, prone to angry tweets, and Xi, outwardly calm, measured and tightly scripted, with no known social media presence.

What worries the protocol-conscious Chinese more than policy clashes is the risk that the unpredictable Trump could publicly embarrass Xi, after several foreign leaders experienced awkward moments with the new U.S. president.

“Ensuring President Xi does not lose face is a top priority for China,” a Chinese official said.

The most urgent problem facing Trump and Xi is how to persuade nuclear-armed North Korea to halt unpredictable behavior like missile test launches that have heightened tensions in South Korea and Japan.

North Korea is working to develop an intercontinental ballistic missile capable of hitting the United States.

Trump has threatened to use trade to try to force China to exert influence over Pyongyang. Beijing says its influence is limited and that it is doing all it can but that it is up to the United States to find a way back to talks with North Korea.

A senior White House official said North Korea was a test for the U.S.-Chinese relationship.

“The clock is very, very quickly running out,” the official said. “All options are on the table for us.”

Trump consulted on Wednesday with Japanese Prime Minister Shinzo Abe, who said he and the president agreed by phone that North Korea’s latest ballistic missile launch was “a dangerous provocation and a serious threat.”

A White House strategy review is focusing on options for pressuring Pyongyang economically and militarily. Among measures under consideration are “secondary sanctions” against Chinese banks and firms that do the most business with Pyongyang.

A long-standing option of pre-emptive strikes remains on the table, but despite the tougher recent U.S. talk, the internal review “de-emphasizes direct military action,” the U.S. official said, speaking on condition of anonymity.

Analysts believe any military action would likely provoke severe North Korean retaliation and massive casualties in South Korea and Japan and among U.S. troops stationed there.

(Additional reporting by David Brunnstrom in Washington, Gui Qing Koh in New York, Ben Blanchard in Beijing and William Mallard in Tokyo; Editing by Caren Bohan and Peter Cooney)

White House official says North Korea is test for U.S.-China relations

A combination of file photos showing Chinese President Xi Jinping (L) at London's Heathrow Airport, October 19, 2015 and U.S. President Donald Trump posing for a photo in New York City, U.S., May 17, 2016. REUTERS/Toby Melville/Lucas Jackson/File Photos

By Steve Holland and Roberta Rampton

WASHINGTON (Reuters) – U.S. President Donald Trump will discuss how to rein in North Korea’s nuclear program with Chinese President Xi Jinping later this week in what a senior White House official said on Tuesday would be a test for the U.S.-Chinese relationship.

Trump and Xi are to meet on Thursday and Friday at Trump’s Mar-a-Lago retreat on the Atlantic coast in Palm Beach, Florida. It will be their first face-to-face meeting since Trump took office on Jan. 20, and trade and security issues are to figure prominently in their talks.

“We would like to work on North Korea together,” the official said in a briefing for reporters. “This is a test for the relationship.”

Trump wants China to do more to exert its economic influence over unpredictable Pyongyang to restrain its nuclear and missile programs, while Beijing has said it does not have that kind of influence.

In an interview with the Financial Times last weekend, Trump held out the possibility of using trade as a lever to secure Chinese cooperation.

In the same interview, Trump was quoted as telling the FT that Washington was ready to address the North Korean threat alone, if need be.

The White House official — speaking just as North Korea fired a projectile believed by South Korea’s military to be a ballistic missile into the sea — said the situation had become more urgent.

“The clock is very, very quickly running out,” the official said. “All options are on the table for us.”

Trump does not plan to give in to Chinese pressure for the United States to withdraw its THAAD anti-missile system in South Korea, which Beijing considers destabilizing.

Trump has said he expects the meeting to be a difficult one given his belief that China has taken advantage of U.S. trade policies to help its economy and hurt U.S. job creation.

He plans to discuss with Xi a new “elevated” and streamlined framework for a U.S.-Chinese dialogue with “clear deadlines for achieving results,” the senior White House official said.

He will discuss significant trade and economic concerns with Xi in what the official called a “candid and productive manner.”

(Reporting by Steve Holland and Roberta Rampton; Editing by Sandra Maler)

China downplays tensions with U.S. as Xi prepares to meet Trump

Chinese President Xi Jinping and U.S. President Donald Trump. REUTERS/File Photos

By Ben Blanchard and David Lawder

BEIJING/WASHINGTON (Reuters) – Beijing sought to play down tensions with the United States and put on a positive face on Friday, as the U.S. administration slammed China on a range of business issues ahead of President Xi Jinping’s first meeting with President Donald Trump.

Trump set the tone for what could be a tense meeting at his Mar-a-Lago retreat next week by tweeting on Thursday that the United States could no longer tolerate massive trade deficits and job losses.

Trump said the highly anticipated meeting, which is also expected to cover differences over North Korea and China’s strategic ambitions in the South China Sea, “will be a very difficult one.”

Ahead of the meeting, Trump will sign executive orders on Friday aimed at identifying abuses that are causing massive U.S. trade deficits and clamping down on non-payment of anti-dumping and anti-subsidy duties on imports, his top trade officials said.

Separately, the U.S. Trade Representative’s office, controlled by the White House, said Beijing’s industrial policies and financial support for industries such as steel and aluminum have resulted in over-production and a flood of exports that have distorted global markets and undermined competitive companies.

Seeking to downplay the rift, Chinese Foreign Ministry spokesman Lu Kang reiterated a desire for cooperation on trade.

“With regard to the problems existing between China and the United States in trade relations, both sides should in a mutual respectful and mutual beneficial way find appropriate resolutions, and ensure the stable development of Sino-U.S. trade relations,” he told a daily news briefing.

The leaders of the world’s two largest economies are scheduled to meet next Thursday and Friday for the first time since Trump assumed office on Jan. 20.

Speaking earlier at a briefing on the Xi-Trump meeting, Chinese Vice Foreign Minister Zheng Zeguang acknowledged the trade imbalance, but said it was mostly due to differences in their two economic structures and noted that China had a trade deficit in services.

“China does not deliberately seek a trade surplus. We also have no intention of carrying out competitive currency devaluation to stimulate exports. This is not our policy,” Zheng said.

CONCILIATORY TONE

State news agency Xinhua also struck a conciliatory tone.

“Of course, it would be naive to believe that the two sides can bridge their differences in a single diplomatic meeting,” it said in an English language commentary on Friday.

“Yet as long as the two nations can maintain their good faith, which they have shown recently, to talk and to make concessions based on mutual respect, then no difference would be too difficult to iron out.”

Trump has frequently accused China of keeping its currency artificially low against the dollar to make Chinese exports cheaper, and “stealing” American manufacturing jobs.

The yuan fell 6.5 percent last year in its biggest annual loss against the dollar since 1994, knocked by pressure from sluggish economic growth and a broadly strong U.S. currency.

Trump has resisted acting on a campaign promise to declare China a currency manipulator on his first day in office, but tensions have persisted over how his administration’s China policy would evolve.

While apprehensive about a trade war, the American business community in China has grown more vocal.

Fear of retaliation had once made business lobbies eschew more forceful U.S. trade policies toward China, but such groups have increasingly urged the Trump administration to take targeted action to address market access imbalances.

Zheng said domestic consumption in China will increase as it pursues economic reforms, helping to raise demand for foreign goods and services, including those from the United States.

“This also helps ameliorate the trade imbalance between China and the United States,” he said.

The trade imbalance could be resolved by improved cooperation, Zheng said, urging Washington to lift restrictions on civilian technology exports to China and create better conditions for Chinese investment in the United States.

The USTR report, however, accused China of using a range of measures to engineer the transfer of foreign technology to local firms. It said these include denying financial or regulatory approvals to companies using foreign-owned intellectual property or that do not conduct research or manufacture products in China.

The report also brought up longstanding complaints about online piracy of movies, books, music, video games and software in China as well as a ban on U.S. beef that has been in place since 2003.

(Additional reporting by Christian Shepherd and Michael Martina in BEIJING; Editing by Lincoln Feast)

China’s Xi to meet Trump in Florida next week

China's President Xi Jinping attends the opening session of the Chinese People's Political Consultative Conference in Beijing. REUTERS/Jason Lee

BEIJING (Reuters) – Chinese President Xi Jinping will travel to the United States to meet President Donald Trump at his Mar-a-Lago retreat in Florida on April 6-7, China’s Foreign Ministry said on Thursday, its first official confirmation of the highly anticipated summit.

It will be Xi’s first meeting with Trump, whose presidency began on Jan. 20, and comes as the two sides face pressing issues, ranging from North Korea and the South China Sea to trade disputes.

Ministry spokesman Lu Kang made the announcement at a daily news briefing.

He did not give any more details of the meeting agenda, but spoke of the need to see the big picture while fostering mutual interests in trade relations.

“The market dictates that interests between our two countries are structured so that you will always have me and I will always have you,” Lu said.

“Both sides should work together to make the cake of mutual interest bigger and not simply seek fairer distribution,” he said in response to a question about trade frictions.

Beijing had previously said that preparatory work for the meeting was underway. But it had not yet confirmed the trip, despite western media reports on a scheduled meeting and an announcement by the Finnish government that Xi would make a brief stop in Finland on April 5.

The summit will follow a string of other recent U.S.-China meetings and conversations aimed at mending ties after strong criticism of China by Trump during his election campaign.

U.S. Secretary of State Rex Tillerson ended a trip to Asia this month in Beijing, agreeing to work together with China on North Korea and stressing Trump’s desire to enhance understanding.

China has been irritated at being repeatedly told by Washington to rein in North Korea’s nuclear and missile programs and by the U.S. decision to base an advanced missile defense system in South Korea.

Beijing is also deeply suspicious of U.S. intentions towards self-ruled Taiwan, which China claims as its own.

During his election campaign, Trump accused China of unfair trade policies, criticized its island-building in the strategic South China Sea, and accused it of doing too little to constrain North Korea.

Trump also incensed Beijing in December by taking a phone call from Taiwanese President Tsai Ing-wen and later saying the United States did not have to stick to the so-called “one China” policy.

He later agreed in a phone call with Xi to honor the long-standing policy and has also written to Xi since seeking “constructive ties.”

(Reporting by Christian Shepherd; Writing by Michael Martina; Editing by Simon Cameron-Moore)

China says weapons won’t stop unification with Taiwan

Taiwan navy fast attack boats take part in a military drill in Kaohsiung port, southern Taiwan. REUTERS/Pichi Chuang

BEIJING (Reuters) – China’s Defence Ministry said on Thursday it was futile for Taiwan to think it could use arms to prevent unification, as the self-ruled democratic island looks to fresh arms sales by the United States amid what it sees as a growing Chinese threat.

China has never renounced the use of force to bring under its control what it deems a wayward province, and Taiwan’s defense ministry says China has more than 1,000 missiles directed at the island.

The Trump administration is crafting a big new arms package for Taiwan that could include advanced rocket systems and anti-ship missiles to defend against China, U.S. officials said earlier this month, a deal sure to anger Beijing.

China is deeply suspicious of Taiwan President Tsai Ing-wen, believing she wants to push the island toward formal independence, a red line for China. She says she wants to maintain peace with China.

“Separatist Taiwan independence forces and their activities are the greatest threat to peace and stability in the Taiwan Strait,” Chinese Defence Ministry spokesman Wu Qian told a monthly news briefing.

“It is futile to ‘use weapons to refuse unification’, and is doomed to have no way out,” he added, without elaborating.

Defeated Nationalist forces fled to Taiwan after losing a civil war to the Communists in 1949.

Proudly democratic Taiwan has shown no interest in being ruled by autocratic China.

(Reporting by Ben Blanchard; Editing by Clarence Fernandez)