US, China dampen expectations as trade talks open

Top US and Chinese officials prepared today to kick off crucial trade talks in Beijing but both sides sought to dampen expectations for a quick resolution to a heated dispute between the world's two largest economies.

The gathering comes months after US President Donald Trump sparked a series of tit-for-tat exchanges by threatening to impose huge tariffs on billions of dollars worth of goods, sparking fears of a potentially damaging trade war.

"It is not realistic to resolve all issues through only one round of negotiations, but we believe that, as long as the US is sincere to resolve the relevant issues, the negotiation will be a positive one," said Hua Chunying, a spokeswoman for China's foreign ministry, at a regular news briefing yesterday.

The US delegation includes seven senior officials: Treasury Secretary Steven Mnuchin, Commerce Secretary Wilbur Ross, US Trade Representative Robert Lighthizer, White House economic advisers Peter Navarro, Larry Kudlow, Everett Eissenstat and US Ambassador to China Terry Branstad.

Each member of the team is known to harbour strong views with varying degrees of hawkishness on the dispute -- from Navarro, author of "Death by China", to Mnuchin, a former Goldman Sachs executive who has publicly expressed optimism on resolving the spat.

"I'm always hoping but not always hopeful," Lighthizer said on Tuesday before departing for Beijing. "It's a big, big challenge."