'I think there's a couple more chapters yet to be written in the trade war,' James McCormack, the global head of sovereign ratings at Fitch, told CNBC on Thursday.
, which cited"people familiar with the plan," said that China hopes to refocus negotiations on trade issues and sideline"national security" tensions that have arisen between the countries.
After the latest round of discussions between the countries faltered in May, the U.S. State Department's approval of $2.2 billion in arms to Taiwan evoked the ire of the Chinese government. Beijing has also alleged that the U.S. is helping incite protests inKong to mainland China and have continued for more than three months.
Despite the positive overtures between the two countries, room for skepticism still abounds given the ideological gulf separating the countries. China and the U.S. hold divergent views of technology transfers which, along with the U.S. trade deficit, has been a central point of contention between the two Beijing and Washington.
Although the Chinese legislature passed a law in March to address U.S. concerns about forced technology transfer, a surveyAnd, as thereport noted, the two countries will likely disagree on what qualifies as a national security threat.
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