The world's two largest economies China and America continue to discuss easing trade tensions

Trade officials from China and the United States are holding a new round of talks on contentious issues during the third day of U.S. Commerce Secretary Gina Raimondo's visit to Beijing.

On Tuesday, Raimondo met with Chinese Vice Premier He Lifeng in Beijing and reiterated her view that "the U.S.-China trade relationship is one of the most important" in the world.

"Managing this relationship responsibly is very important for our two countries and for the rest of the world," Raimondo said.

She emphasized that the United States will never compromise on protecting its national security, but added that Washington "does not seek to disconnect from or obstruct the Chinese economy."

In response, He said Beijing is ready to work on "new and positive efforts to maintain economic harmony and promote cooperation."

During a meeting with Chinese Premier Li Keqiang, Raimondo said China and the United States should intensify joint efforts to solve issues of global concern.

"There are ... areas of global concern, such as climate change, artificial intelligence and the fentanyl crisis, where we want to work with you as two world powers to do what is right for humanity," she said, adding that "the world expects us to cooperate to solve these issues."

Chinese Commerce Minister Wang Wentao said on Tuesday that his country is ready to work with the United States to boost bilateral trade and investment.

This came in a statement published on the ministry's website, after holding talks with Raimondo. Wang called on Washington to translate its words into deeds regarding its assertion that it does not seek to secede from China.

 Agreement to discuss tensions

The U.S. Secretary of Commerce's visit resulted in a landmark agreement between China and the United States to establish a new working group to address tensions in trade matters between the two countries.

Raimondo's visit is the third US official this year to Beijing after the secretaries of state and treasury. The efforts come amid deep differences between Washington and Beijing on regional hotspots in the Indo-Pacific region, and reciprocal sanctions between the two countries.

The relationship between China and the U.S. has been described as a declared Cold War, yet neither side wants a rift.

Strong trade despite disagreements

Trade figures between the two countries indicate that last year hit an all-time high of $690 billion.

China remains the United States' third-largest trading partner after Canada and Mexico, with its goods accounting for 20% of total U.S. goods imports.

The U.S. restricts imports from China as part of a so-called "risk-limiting policy," which it says is necessary to protect its national security.

Last June, the Biden administration added 59 Chinese companies to a list of entities in which Americans are prohibited from investing. These companies are mainly in the semiconductor industry and emerging technologies such as artificial intelligence.

For Beijing, U.S. restrictions on its exports and preventing Americans from investing in its companies are efforts to limit China's economic growth.

Due to Washington's risk-limiting policy, foreign investment in China has fallen by about half over the past year, with many investors staying away due to concern over geopolitical risks.

Beijing has territorial claims in the South China Sea that Washington opposes, and the US is concerned about China's relations with Russia over the Ukraine war.

Add to this the issue of Taiwan, on which the Chinese and Americans are on opposite sides, the latest chapter being Washington's approval last week of a $500 million arms sale to Taiwan.

Source: Al Jazeera + Agencies