MNI: Trump Visit May Lift Trade Ties with China, Scholar Says

     BEIJING (MNI) - U.S. President Donald Trump's visit to Beijing this week

may see the two sides boost trade ties beyond the usual fields, a

state-affiliated Chinese scholar said.

     The two sides will need to reach more than the usual "T-shirts and shoes

for airplanes" deals to satisfy their constituencies, Teng Jianqun, a researcher

with the China Institute of International Studies, wrote in an article on the

institute's website. 

     Trump and Chinese President Xi Jinping, who last month won reappointment as

head of the ruling Communist Party, both have the desire to demonstrate that

they can deliver results to their own people. Xi, particularly, may use the

visit to define his "new-era" relations with the United States, Teng said.

     Teng said Trump is set to receive the "rarest" of honors in China after his

arrival in the capital Wednesday afternoon. In addition to the gun salutes,

inspection of color guards and state dinner, Trump is expected to be dining

inside the Forbidden Palace on Wednesday night with President Xi. 

     China has turned from a T-shirt manufacturer to a banker, with many Chinese

businesspeople now working on Wall Street, Teng said. The previous trade model

of buying U.S. goods to balance trade relations is outdated, he said.

     Economics will always form the base of the two sides' relationship, Teng

said. Beyond the "mature" trading areas the two countries share, they will

likely seek other focal areas of cooperation, such as exchanges of talent,

markets, investment, infrastructure and know-how, Teng said.

     Gong Ting, another researcher with the institute, said the U.S. has huge

potential to boost exports of crude, refined products and natural gas to China. 

     Trump's visit has already helped China improve ties with South Korea and

Japan, Teng said. The visit may chart a "new roadmap" for how China deals with

the U.S., Teng added.

--MNI Beijing Bureau; +86 10 8532 5998; email: william.bi@mni-news.com

--MNI Beijing Bureau; +86 (10) 8532-5998; email: vince.morkri@marketnews.com

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