US economy

US and China seek to resolve chipmaker spat as part of trade deal


US and Chinese negotiators are trying to resolve a long-running dispute between semiconductor rivals Micron Technologies and Fujian Jinhua as part of a larger trade agreement between the world’s two largest economies, according to people briefed on the negotiations.

The people added that a resolution of the various charges and counter-charges involving Idaho-based Micron and Fujian Jinhua was one of a series of “confidence-building” measures the two sides want to include in a memorandum of understanding, which could pave the way for a final agreement to the ongoing US-China trade war. 

China’s lead negotiator, Vice Premier Liu He, and US Trade Representative Robert Lighthizer are due to wrap up their third round of face-to-face trade talks in almost as many weeks in Washington on Friday, after which Mr Liu will meet with US President Donald Trump. 

The people briefed on the talks said concrete agreements on long-running commercial disputes could help Mr Trump sell a larger trade deal that may be light on difficult structural reforms of the Chinese economy and a stringent enforcement mechanism, both of which have been stubbornly resisted by Mr Liu’s team.

Other confidence-building measures under discussion include an easing of Chinese restrictions on imports of US polysilicone, which Beijing implemented in retaliation for US tariffs on imported solar cells, as well as final approval by China’s central bank for Visa and MasterCard to provide domestic payment services after an almost 20-year wait



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