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China's Xi: Prepare for difficult times

Video Credit: Reuters Studio - Duration: 01:59s - Published < > Embed
China's Xi: Prepare for difficult times

China's Xi: Prepare for difficult times

China must prepare for difficult times as the international situation is increasingly complex, President Xi Jinping said on Wednesday, as the U.S.-China trade war took a mounting toll on tech giant Huawei.

Vanessa Johnston reports.

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China's Xi: Prepare for difficult times

Chinese President Xi Jinping on Wednesday warned his country to prepare for difficult times ahead…saying "the international situation is increasingly complicated." While he did not mention specifics, his comments - carried by state media - come as a trade war between China and the U.S. continues to simmer…with no deal in sight... Both sides hiking tariffs on each other's exports after talks broke down earlier this month.

The acrimony intensified last week after Washington blacklisted Chinese telecom company Huawei…curbing its access to U.S.-made components... ...the move a potentially devastating blow...with several mobile carriers now delaying the launch of the company's new smartphone handsets.

The U.S. fears Huawei's smartphones and network could be used by China to spy on Americans, which the company denies.

And, on Tuesday, the New York Times reported that video surveillance firm Hikvision could be next on the U.S. hit list.

Talks between the U.S. and China stalled after Chinese officials sought major changes to the text of a proposed deal... ...a deal the Trump administration claimed had already been largely agreed to… President Donald Trump responded by raising tariffs on $200 billion worth of Chinese goods from 10 to 25 percent...prompting Beijing to retaliate with tariff hikes on U.S. imports.

On Wednesday, U.S. Treasury Secretary Steve Mnuchin said he was still hopeful the two countries could work out their differences... Mnuchin: "I'm still hopeful we can get back to the table.

The two presidents will likely see each other at the end of June." China's ambassador to the U.S. on Tuesday told Fox News that Beijing is still open for talks...but blasted the U.S. restrictions on Huawei...calling them "politically motivated."




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