Treasury Secretary Janet Yellen travels to China on Thursday to try to ease recent strains over trade, technology, and Taiwan.
The trip comes as concerns grow that the world economy is fragmenting after decades of globalization. U.S. companies such as Apple that have long relied on China as a manufacturing base are moving production elsewhere, and tit-for-tat restrictions on exports of semiconductors shows how uneasy relations have become.
The
Hang Seng
Index rose 2.2% on Monday. China-exposed stocks such as
Taiwan Semiconductor
(2330.TAIWAN) and
Nvidia
(NVDA) were rising in premarket trading.
Apple,
(APPL) which recently topped a $3 trillion valuation, was little changed.
Both countries have plenty to gain from continued cooperation, a point Yellen has made several times in recent months. China’s economy has struggled to recover from belatedly lifting Covid-19 era restrictions at the end of last year.
Manufacturing contracted for a third month in June, official statistics showed Friday. Yellen’s trip comes after Secretary of State Antony Blinken met Chinese leader Xi Jinping in Beijing last month.
Write to Brian Swint at [email protected]
Read the full article here
