Blinken says US has concerns about China's trade practices with Russia
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Blinken says US has concerns about China's trade practices with Russia

Blinken
Source:  Bloomberg

Secretary of State Anthony Blinken raised concerns about questionable trade practices in the world's second-largest economy as talks began in China. He threatens US sanctions against Beijing for its support for Russia.

Tensions between China and the US are rising over Russia

"We have an obligation to our people — in fact, to the world — to responsibly manage relations between our countries," he told the party secretary in Shanghai.

According to State Department spokesman Matthew Miller, Blinken stressed the need for a level playing field for American companies in China and brought up "non-market economic practices" in the Asian country during the meeting.

The leader of the economic centre noted that their countries are facing a choice between "cooperation or confrontation," and the outcome will affect "the future of humanity."

Blinken also intends to meet with American business leaders in Shanghai before traveling to Beijing on Friday for meetings, including a possible one-on-one meeting with President Xi Jinping.

The high-ranking American diplomat's trip comes amid heightened tensions between the countries, especially in the US election period, which affects the stability of US-China relations under President Xi's and Joe Biden's leadership.

The US president has recently called Beijing "xenophobic", announced plans to increase tariffs against China and launched an investigation into its shipping.

Blinken calls on Chinese officials to end cooperation with Russia

Blinken is seeking to persuade Chinese officials to end the trade, which is helping rebuild Russia's defense and industrial base, in defiance of restrictions imposed by the West after Russia's invasion of Ukraine. Beijing's territorial claims to self-governing Taiwan and its activity in the South China Sea are also in the spotlight, as noted by a high-ranking US official.

The Communist Party's response to the threat of sanctions and the latest flurry of trade strikes has been limited to challenging dialogue and symbolic "eye for an eye" duties.

Xi is trying to lure foreign investors back to China and revive the country's economy, which is facing a property crisis and European Union trade investigations.

"China reacts most actively when it feels its power and authority," said an expert on China and foreign investments. "Now the leadership in Beijing is spending a lot of effort on extinguishing the fires." Added to this is the threat of new sanctions.

Earlier this month, Treasury Secretary Janet Yellen told Chinese officials that Chinese banks that aid Russia in its military operations could be subject to new US sanctions because of China's overcapacity.

Before Blinken's visit, China's state media expressed contradictions in an attempt to stabilise relations while increasing trade rivalry.

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