China is dissatisfied with the US’s decision to abandon it and invest in India’s technology
The US Treasury Secretary landed in Beijing on Thursday for a visit intended to enhance communication and reduce tensions in the two countries’ relationship. Notably, this occurred after the US attempted to withdraw its substantial technology investments from China and chose India as its partner.
The US Treasury Secretary Janet Yellen arrived in Beijing on Thursday to start a trip aimed at mending fences and improving ties. Her goal is to improve channels of communication, avoid misconceptions, and promote teamwork on a variety of issues, such as the debt crisis, the global economy, and climate change, among others.
Yellen’s trip to China, the second by a cabinet member following Secretary of State Antony Blinken’s trip, comes at a time when ties between the two biggest economies in the world have further worsened. Nicholas Burns, the American ambassador to China, and Yang Ying Ming, a representative of the Chinese Finance Ministry, welcomed Yellen upon her arrival in Beijing.
Concerns about the Chinese economy’s revival and the possible consequences of US interest rate rises are prominent throughout her trip.
Instead of being vague about its support for decoupling, the US has now chosen a more clear strategy of de-risking. Analysts do not anticipate a quick easing of tensions, however. China is upset that the US is considering a plan to limit some foreign investments in sensitive technologies that might have an impact on national security. When it comes to making investments in the technological sector, the US is currently turning more and more to India as a partner than to Chia.
The Chinese anti-espionage statute is another possible bone of contention that would need to be amended. The legislation recently increased the extent of its monitoring while still attempting to restrict the exchange of information pertaining to national security. Foreign and local firms are equally uneasy about this measure.
Following an incident in which the US shot down a Chinese balloon it said was being used for spying, an allegation vigorously denied by China, tensions between the two nations grew this year.
