Chinese President Hu's US visit sets a new tone
Chinese President Hu Jintao headed home Friday after a US visit that both sides declared a success.
Hu's visit, described by analysts as the most important US.-China meeting in 30 yrs, hit the right diplomatic notes with the pomp of a White House Summit, pledges of greater cooperation and US$45B in new business deals.
Mr. Obama, who is pushing to create jobs and beat back an unemployment rate riding at 9+%, said the visit would help open China's markets to more US exports and lead to up to 235,000 new jobs for US workers.
We want to open up their markets so that we've got two-way trade, not just one-way trade, Mr. Obama told General Electric Co workers on a visit to Schenectady, New York Friday.
But while he touted new access to Chinese government contracts and secure intellectual property rights, he made little headway on China's currency policy, which analysts say has helped build China build a huge trade surplus by artificially undervaluing the Yuan.
On the currency issue, President Hu gave nothing, but no one should have expected a breakthrough, said Elizabeth Economy, a China expert at the Council on Foreign Relations. China will move in its own way on the issue, according to what it perceives as its own economic interests, she said.
Throughout his visit Hu sought to show that US and Chinese economic interests are largely aligned. He spent the final day of his US tour in Chicago where he visited a school and a business exhibition to press the message that China represents opportunity for US business.
I'm confident that bilateral China-US investment in the next year or 2 will grow even faster and help the United States with employment growth, Chinese Commerce Minister Chen Deming told the business forum as more deals were signed.
Analysts said President Hu's trip was smooth enough to help improve relations after a flare-up in tensions last year over issues including trade, North Korea and Internet censorship.
The World's Top 2 economies are already closely linked and China is the largest foreign holder of US government debt.
Chinese media lauded the trip as a historic Masterstroke to ease tensions. Chinese State television gave blanket coverage to the ceremony of Hu's State Dinner, and welcome at the White House, showing China's leader as a valued and honored player on the World stage.-Paul A. Ebeling, Jnr. www.livetradingnews.com