During her visit to China, US Treasury Secretary Janet Yellen emphasized the need for a fair playing field for American workers and companies. Yellen's five-day trip began in Guangzhou,

a significant industrial and export center in China.

In discussions with Wang Weizhong, the governor of Guangdong province, Yellen stressed the importance of open and direct communication between the US and China, particularly on issues where they disagree. One such issue is China's industrial overcapacity, which Yellen and other countries worry could have global ramifications.

As the first Cabinet-level official to visit China since President Joe Biden's meeting with Chinese leader Xi Jinping in November, Yellen intends to address what the US sees as unfair trade practices by China, a concern shared by many European nations.

Before engaging with government officials, Yellen met with representatives from American, European, and Japanese businesses to understand their concerns, anticipating challenging discussions on trade and other matters.

Yellen also plans to interact with American business leaders during her visit, acknowledging the challenges they face operating in China. She cited a survey by the American Chamber of Commerce indicating that a third of American firms in China have experienced unfair treatment compared to local competitors. Yellen emphasized that addressing these unfair practices would not only benefit American companies but also improve China's business environment.

Guangzhou, the capital of Guangdong province, is home to major companies like Huawei and BYD, prominent players in telecommunications and electric vehicles. Huawei, in particular, has felt the impact of US restrictions on semiconductor exports to China, driving Chinese efforts towards self-sufficiency and technological leadership. Photo by Federalreserve, Wikimedia commons.