American Marconi Wireless News - Chinese premier calls for 'dialogue' as US senator visits Beijing

Relations between the world's two largest economies have plunged in recent weeks, as blanket tariffs imposed by Trump threaten China's trade prospects.

Premier Li Qiang's comments came during a meeting with Trump supporter Steve Daines, a Republican senator from Montana.

His visit has been viewed as a bid to ease strained relations, with an eye toward setting up a summit between Trump and Chinese President Xi Jinping.

"Our two sides need to choose dialogue over confrontation, win-win cooperation over zero-sum competition," Li told Daines.

CEOs of major firms including FedEx, Pfizer and Qualcomm were also present.

Li said he hoped Washington would "work together with China to promote the steady, sound and sustainable development" of relations.

Earlier on Sunday, Li told the China Development Forum that Beijing would pursue economic globalisation despite "fragmentation", a thinly veiled reference to trade turmoil sparked by Trump.

- 'Rough waters' -

Chinese leaders have been attempting to steer a shaky economy onto a more stable path since the end of the pandemic, particularly by boosting consumption.

They are seeking to position the country as a defender of the multilateral economic system, as Trump wages tariff wars with major US trading partners including China, Canada and Mexico.

"China will firmly stand on the correct side of history, that of fairness and justice, and act in a righteous manner amid the rough waters of the times," Li said at the annual forum, attended by business leaders including Apple CEO Tim Cook.

Beijing will "adhere to the correct direction of economic globalisation, practice true multilateralism and strive to be a force for stability and certainty", Li said.

In an apparent reference to renewed trade wars sparked by Trump, Li said that "global economic fragmentation is intensifying" and that "instability and uncertainty are on the rise".

- 'Candid dialogue' -

Talks were also expected to discuss the flow of the deadly drug fentanyl and its precursor chemicals from China into the United States.

Trump says his new tariffs on China are due to Beijing's failure to stem shipments of the chemicals, which underpin a devastating drug crisis.

Beijing insists it has already cracked down on the illicit production and trade of drugs, describing the issue as one for Washington to solve.

Daines on Saturday also met with Vice Premier He Lifeng, a close advisor to President Xi Jinping on economic matters.

During his meeting with Daines, He said that China "firmly opposes the politicisation, weaponisation and instrumentalisation of economic and trade issues".

The vice premier added that China was willing to "engage in candid dialogue" with the United States, saying they had "many common interests and broad space for cooperation".

The tariffs imposed by Trump amount to a 20 percent blanket hike on Chinese overseas shipments to the United States.

China's exports reached record heights last year, but observers warn that turbulence in the global trading system could soon force Beijing to find other ways to boost activity.

Beijing says it is targeting growth this year of around five percent -- the same as last year and a goal considered ambitious by many economists.

Y.Aukaiv--AMWN