Pompeo tells World Economic Forum he's 'optimistic' over China trade talks
Addressed trade summit in Davos, Switzerland, by video link because of U.S. gov't shutdown
U.S. Secretary of State Michael Pompeo says he's "optimistic" that there will be a "good outcome" in upcoming trade discussions with China in Washington.
A high-level Chinese delegation is due to arrive in the U.S. capital on Jan. 30 as the two sides seek to strike an accord to end their trade conflict.
Addressing delegates at the World Economic Forum by video-link because of the ongoing government shutdown in the United States, Pompeo said the "course of the relationship will be determined by the principles that America stands by."
He noted those include "free and open seas" and "fair and reciprocal trade arrangements where every country has the opportunity to compete on a fair, transparent and open basis."
If Beijing adopts such policies, Pompeo said, he's "confident that our two nations can thrive and prosper together."
Some 'much needed' cooling of real estate in China?
However, a top Chinese financial regulator told the forum it's "certain" that the Chinese economy will slow further this year — but that's largely due to a "much-needed" cooling of the real estate market.
Fang Xinghai, vice-chairman of the China Securities Regulatory Commission, said the slowdown from last year's 28-year low rate of 6.6 per cent to around 6 per cent is not a "collapse."
The International Monetary Fund this week forecast that the world's number two economy would grow by 6.2 per cent in 2019.
Fang said the slowdown has been due to trade tensions with the United States and a cooling housing market.
He said that the Chinese authorities have an array of fiscal, monetary and regulatory tools to deal with any setbacks that may arise: "If anything we should not over-react."