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Topics covered by the U.S. questions include subsidies for China’s fishing industry and the activity of so-called government guidance funds, which seek to foster domestic innovation in different industries from advanced engineering and robotics to biotechnology and clean energy. There were also questions about whether imported cars were eligible for tax breaks and scrappage schemes and whether imported goods were eligible for a Chinese fund for promoting energy saving products. The U.S. document was sent to the WTO’s subsidies committee in response to a notification by China about subsidies programs it is obliged to disclose for transparency purposes.

China did not immediately respond to the U.S, document, It would normally be expected to file its responses with the WTO committee in a similar document, which is likely to take months to appear, The United States said in the document it appreciated that for the first time China had notified both central and sub-central subsidies in one document, adding, “Unfortunately, as was true for China’s previous notifications, China’s most crystal stud cufflinks recent notification suffers from both severe under-reporting of important programs and significant over-reporting of irrelevant or minor programs.”..

Providing transparency about trade policies is a key job of the WTO, and the United States has been vocal about wanting China, India, Vietnam and other WTO members to improve the standard and their timeliness of their notifications. U.S. President Donald Trump has threatened to withdraw from the global trade body if it doesn’t “shape up”. The United States has teamed up with Japan and the European Union to pursue improvements in international trade. After meeting earlier this month, they said they planned to finalize “text-based work” on industrial subsidies early this year and then engage other key WTO members.

WASHINGTON (Reuters) - The United States and China launch a critical round of trade talks on Wednesday amid deep differences over Washington’s demands for structural economic reforms from Beijing that will make it difficult to reach a deal before a March 2 U.S, tariff hike, The two crystal stud cufflinks sides will meet next door to the White House in the highest-level talks since U.S, President Donald Trump and Chinese President Xi Jinping agreed a 90-day truce in their trade war in December, People familiar with the talks and trade experts watching them say that, so far, there has been little indication that Chinese officials are willing to address core U.S, demands to protect American intellectual property rights and end policies that Washington says force U.S, companies to transfer technology to Chinese firms..

The U.S. complaints, along with accusations of Chinese cyber theft of U.S. trade secrets and a systematic campaign to acquire U.S. technology firms, were used by the Trump administration to justify punitive U.S. tariffs on $250 billion worth of Chinese imports. Trump has threatened to raise tariffs on $200 billion of goods to 25 percent from 10 percent on March 2 if an agreement cannot be reached. He has also threatened new tariffs on the remainder of Chinese goods shipped to the United States. “Clearly on the structural concerns, on forced technology transfer, there remains a significant gap if not a wide chasm between the two sides,” a person familiar with the talks told Reuters.

Chinese officials deny that their policies coerce technology transfers, They have emphasized steps already taken, including reduced automotive tariffs and a draft foreign investment law that improves access for foreign firms and promises to outlaw “administrative means to force the transfer of technology.”, China is fast-tracking that new law, with the country’s largely rubber-stamp parliament likely to approve it in March, A crucial component of any progress in the talks, according to top administration officials, is agreement on a mechanism to verify and “enforce” China’s follow-through on any reform pledges that it makes, This could maintain crystal stud cufflinks the threat of U.S, tariffs on Chinese goods long term..

Some business groups watching the talks were tempering expectations for a breakthrough this week. With a month to go before the deadline, it was unlikely that the best offers from either side would be put on the table in the next two days, said Erin Ennis, senior vice president of the U.S.-China Business Council. “I don’t think there’s going to be any big outcome,” Ennis said of the talks scheduled for Wednesday and Thursday. “Hopefully they make some good progress that will set them up to be able to get to completion at the end of the 90 days.”.

But the Chinese side, led by Vice Premier Liu He, would likely have to bring to the table a new offer that goes significantly beyond its previous offers crystal stud cufflinks to significantly increase purchases of U.S, goods, including soybeans, energy and manufactured goods, People familiar with the talks said manufactured goods, a key priority for the Trump administration, were among the largest components of Chinese purchase pledges aimed at significantly reducing the U.S, trade deficit with China, But here, too, there are “no guarantees” that Beijing would follow through on these pledges, one of the people said..

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