Treasury Secretary Janet Yellen defended the Biden administration’s China strategy and outlined measures aimed at reducing tensions with Beijing in a speech on Thursday at the U.S.-China Business Council’s 50th anniversary dinner in Washington.
National security would remain a top priority for the United States, she told the members of the business group, which promotes trade between the United States and China.
While pursuing a healthy economic relationship with China, she said, Washington would continue to use “economic tools” to protect U.S. national security interests and human rights in China.
“This is an area where we cannot and will not compromise,” Ms. Yellen said….
ellen Navigates Balancing Act: Protecting US Interests While Mending China Ties
Treasury Secretary Janet Yellen delivered a delicate balancing act on Thursday, aiming to reassure US businesses about their ties with China while emphasizing the government’s commitment to protecting national security and human rights. Here’s a breakdown of her key points:
For the Business Community:
- Maintaining a healthy economic relationship with China remains a priority. Yellen acknowledged the importance of US-China trade and expressed a desire to foster a “constructive” relationship.
- No intention to decouple the economies. She dismissed concerns about a complete severing of economic ties, highlighting the mutual benefits of continued trade.
- Focus on fair competition, not containment. Yellen emphasized the goal of ensuring a level playing field for US businesses, not hindering China’s economic growth.
For National Security and Human Rights:
- National security remains paramount. Yellen firmly stated that protecting US interests will not be compromised, even in pursuit of economic cooperation.
- Economic tools for strategic purposes. She outlined the use of “targeted sanctions and other economic tools” to address concerns about China’s unfair trade practices and human rights violations.
- No retreat on human rights. Yellen emphasized the Biden administration’s unwavering commitment to upholding human rights, including in China.
Key Takeaways:
- Yellen’s speech signals a nuanced approach to China, aiming to balance economic interests with national security concerns.
- While seeking cooperation on economic issues, the US remains firm on protecting its interests and values.
- US businesses operating in China can expect continued government support for fair competition and protection against unfair practices.
Additional Points:
- Yellen expressed a willingness to engage in dialogue with Chinese officials to find common ground and address concerns.
- She called for cooperation on global challenges such as climate change and debt relief for developing countries.
- The speech was met with mixed reactions, with some business groups praising the focus on economic cooperation and others urging a more aggressive stance on China’s human rights record.
Looking Ahead:
Yellen’s speech lays the groundwork for navigating the complex relationship between the US and China. The success of this approach will depend on the administration’s ability to balance economic interests with protecting national security and human rights, while also finding areas of cooperation on global issues.
This is a developing story, and further updates may follow as more information becomes available.