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Blinken set to land in China in rare trip with hopes low for any breakthrough

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Blinken set to land in China in rare trip with hopes low for any breakthrough

TOKYO, June 18 (Reuters) – U.S. Secretary of State Antony Blinken is set to arrive in Beijing on Sunday, the first top American diplomat to visit China in five years, amid frosty bilateral ties and dim prospects for any breakthrough on the long list of disputes between the world’s two largest economies.

Having postponed a February trip after a suspected Chinese spy balloon flew over U.S. airspace, Blinken is set to become the highest-ranking U.S. government official to visit China since President Joe Biden took office in January 2021.

During his June 18-19 trip, he is expected to meet with Chinese Foreign Minister Qin Gang, China’s top diplomat Wang Yi and possibly President Xi Jinping, and work to establish open and durable communication channels to ensure the strategic rivalry between the two countries does not spiral into conflict.

It will be a trip also closely followed by the rest of the world as any escalation between superpowers could have worldwide repercussions on everything from financial markets to trade routes and practices and global supply chains.

“There’s a recognition on both sides that we do need to have senior level channels of communication,” a senior State Department official told reporters during a refuel stop in Tokyo en route to Beijing.

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“That we are at an important point in the relationship where I think reducing the risk of miscalculation, or as our Chinese friends often say, stopping the downward spiral in the relationship, is something that’s important,” the official said.

Ties between the countries have deteriorated across the board, raising concerns that they might one day clash militarily over the self-ruled island of Taiwan, which China claims as its own. They are also at odds over issues ranging from trade, U.S. efforts to hold back China’s semiconductor industry and Beijing’s human rights track record.

Particularly alarming for China’s neighbors has been its reluctance to engage in regular military-to-military talks with Washington, despite repeated U.S. attempts.

Speaking at a news conference on Friday before departing for Beijing, Blinken said the trip had three main objectives: Setting up mechanisms for crisis management, advancing U.S. and allies’ interests and speaking directly about related concerns, and exploring areas of potential cooperation.

“If we want to make sure, as we do, that the competition that we have with China doesn’t veer into conflict, the place you start is with communicating,” Blinken said. He said he would also be raising the issue of U.S. citizens detained in China on charges Washington sees as politically motivated.

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But U.S. officials in a briefing call previewing the trip earlier in the week played down any expectations of much progress. While Blinken’s main goal will be “candid, direct and constructive” discussions, the officials said, breakthroughs are not likely on any major issues, including the flow of fentanyl precursors and Americans detained in China.

But there is an expectation that Blinken’s visit will pave the way for more bilateral meetings in coming months, including possible trips by U.S. Treasury Secretary Janet Yellen and Commerce Secretary Gina Raimondo. It could also set the stage for meetings between Xi and Biden at multilateral summits later in the year.

Biden and Xi’s Bali meeting last November briefly eased fears of a new Cold War, but following the flight of an alleged Chinese spy balloon over the United States in February that led Blinken to postpone a Beijing visit planned for that month, high-level communication has been rare.

The U.S. official also said trying to secure China’s cooperation on stemming the flow of fentanyl precursors was going to be a key item on the agenda. The Chinese side has been reluctant to cooperate on the issue, U.S. officials have said.

Reporting by Humeya Pamuk; Editing by Daniel Wallis

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Our Standards: The Thomson Reuters Trust Principles.

Humeyra Pamuk

Thomson Reuters

Humeyra Pamuk is a senior foreign policy correspondent based in Washington DC. She covers the U.S. State Department, regularly traveling with U.S. Secretary of State. During her 20 years with Reuters, she has had postings in London, Dubai, Cairo and Turkey, covering everything from the Arab Spring and Syria’s civil war to numerous Turkish elections and the Kurdish insurgency in the southeast. In 2017, she was won the Knight-Bagehot fellowship program at Columbia University’s School of Journalism. She holds a BA in International Relations and an MA on European Union studies.

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Israel Strikes Hezbollah Stronghold in Attempt to Kill Leader

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Israeli officials say the country’s warplanes destroyed an underground bunker in a residential area after receiving information that the group’s leader, Hassan Nasrallah, was convening a meeting there. Several apartment buildings were flattened.

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Fate of Hezbollah chief unknown after he was targeted in Israeli strike, 2 Hezbollah leaders killed

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Fate of Hezbollah chief unknown after he was targeted in Israeli strike, 2 Hezbollah leaders killed

The fate of Hezbollah’s leader Hassan Nasrallah is unknown following the Israeli Defense Forces’ “targeted attack” against the central headquarters of Hezbollah in Beirut, Lebanon. 

Fox News has learned the target of the attack was Nasrallah, but Hezbollah has since claimed that he is “fine and well” following the strike.

“His Eminence the Secretary-General is fine and well and was not in the targeted location,” Hezbollah Media Relations Officer Hajj Muhammad Afif said on Iranian television. 

The Israel Defense Forces (IDF) has not provided an official status update on Nasrallah’s whereabouts.

ISRAEL TARGETS HEZBOLLAH LEADER NASRALLAH IN STRIKE ON BEIRUT HEADQUARTERS

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Lebanon’s Hezbollah leader Sayyed Hassan Nasrallah gives a televised address at a memorial ceremony to mark one week since the passing of Mohammad Yaghi, one of the powerful armed groups figures, in Baalbek, Lebanon January 5, 2024. (REUTERS/Mohamed Azakir)

Elijah J. Magnier, a Brussels-based veteran and a senior political risk analyst, said that the group’s normal practice “is that they either want him to be in a safe place, and they are moving him, or he is dead, and they want to wait until they find his body.”

ISRAEL-HEZBOLLAH WAR: NETANYAHU ‘DID NOT EVEN RESPOND’ TO US CEASE-FIRE DEAL, PLEDGES TO FIGHT ‘FULL FORCE’

Nasrallah supporters

An arch glorifying Hezbollah and baring pictures of its chief Hassan Nasrallah (R) and Iran’s spiritual leader Ali Khamenei in Beirut. (AP Photo/Bassam Masri)

On Friday night, the IDF announced that two of Hezbollah’s leaders – Muhammad Ali Ismail and Hussein Ahmad Ismail – were killed in the strike.

“Muhammad Ali Ismail, the Commander of Hezbollah’s Missile Unit in southern Lebanon, and his deputy, Hussein Ahmad Ismail, were eliminated in a precise IAF strike,” the IDF announced in a X post.

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The Israeli agency said that Ali Ismail was responsible for “directing numerous terrorist attacks” and “the firing of rockets towards Israeli territory and the launch of a surface-to-surface missile towards central Israel on Wednesday.”

The IDF’s announcement of the elimination of the two terrorist leaders came after Ibrahim Muhammad Qabisi, Head of Hezbollah’s Missiles and Rockets Force, as well as other senior commanders of this unit, were previously killed.

WATCH:

Deputy Pentagon Press Secretary Sabrina Singh previously said that the U.S. was not involved in this operation and had no advance warning.

“Minister [Yoav] Gallant spoke with Secretary Austin as the operation was already underway,” Singh said. “This operation has happened within the last few hours. We are still assessing the event.”

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The Pentagon also declined to speculate on whether the Hezbollah leader was still alive.

Fox News Digital’s Michael Dorgan, Fox News’ Trey Yingst and The Associated Press contributed to this report. 

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State of the Union: Zelenskyy's attempts to drum up new support

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State of the Union: Zelenskyy's attempts to drum up new support

This edition of State of the Union focuses on the crucial visit of Ukrainian president Volodymyr Zelenskyy to the U.S., the latest economic forecast by the EBRD and attempts to support the struggling German car industry.

For weeks now, Europe is anxiously looking at its number one economic powerhouse, Germany – to be more precise: at the country’s ailing car manufacturers, some of Germany’s industrial pillars.

A serious car crisis in the Federal Republic, triggered by a quasi-collapse of the electrical vehicle market, could have severe consequences elsewhere in the EU.

Threats of historic job cuts, plant closures at Volkswagen and plunging earnings at Mercedes-Benz and BMW prompted emergency talks at Berlin’s economy ministry this week.

But given strained federal finances and fights with China over tariffs, the government’s toolbox is rather empty.

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Nonetheless, economy minister Robert Habeck expressed his willingness to help but excluded quick fixes: “Everyone has said that planning is the most important thing. And that means long-term planning. Not a flash-in-the-pan action, because this only has the effect of pumping up the market again in the short term and then possibly collapsing again.”

Germany is in the uncomfortable position today to be forced to re-orient its entire manufacturing sector that depended on cheap Russian energy.

You can already hear Ukraine’s president Zelenskyy shouting: “I told you so!”

Zelenskyy was at the United Nations this week to drum up support for what he called his “victory plan”.

He also reacted to pleas from the European far-left and far-right to negotiate with Russia:

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“We know some in the world want to talk to Putin. We know it. To meet, to talk, to speak. But what could they possibly hear from him? That he’s upset because we are exercising our right to defend our people, or that he wants to keep the war and terror going just so no one thinks he was wrong.”

How the Ukrainian economy keeps suffering from the war was detailed this week by the latest outlook from the European Bank for Reconstruction and Development.

The EBRD covers not only Ukraine, but large parts of eastern Europe and central Asia. The bank’s findings are an important bellwether for the global economy.

We spoke to Beata Javorcik, the chief economist of the EBRD.

Euronews: So, your latest Regional Economic Prospects report is called “Along the adjustment path” – that sounds like a friendly way of saying “It’s disappointing”. What do the economies you invest in need to adjust to?

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Javorcik: Well, the situation in Europe remains quite challenging. We continue to have very high prices of energy. Particularly the price of natural gas is five times as high as in the US. The demand for exports, particularly from Germany, is muted. Given the difficult situation of the German economy and, finally, the costs of borrowing continue to be high, there is this extra risk premium, this extra interest rate. Countries in the regions had to pay when the war in Ukraine started. And this risk premium continues to be there.

Euronews: On the upside are a decline in inflation and an increase in real wages. What exactly happened?

Javorcik: Well, by historical standards we have seen a very fast disinflation process, though of course the adjustment is not done yet. Inflation remains above the pre-COVID level, but on the positive side we have managed to avoid a hard landing. So, this fight with inflation has come without very big unpleasant effects in terms of unemployment. As the inflation episode started, we saw a big decline in real wages, but then real wages started catching up. That was visible in the last few months in the last year. They are not yet back to the pre-COVID trend, but they have certainly caught up in a significant way.

Euronews: I guess there are still some remaining inflationary pressures – what are they?

Javorcik: Inflation still remains high in some countries, such as Turkey or Egypt, still in high double digits. And depreciation of domestic currencies, which has made imports more expensive, has contributed to further inflation.

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Euronews: One country is still in the spotlight: Ukraine. How are they coping with the ongoing war economically?

Javorcik: Well, despite the war early this year, so in the first quarter, Ukrainian economy managed to grow very fast. The bleak Black Sea corridor allowed Ukraine to export grain as well as metals and ores. But then this heavy bombing and destruction of electricity infrastructure happened. And that made the situation very difficult. There are rolling blackouts. There are shortages of electricity. The country is importing electricity from Europe, but it comes at a higher cost. And that’s weighing down on the economy.

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