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By Jiang Wei (China Daily)
Updated: 2007-05-23 06:57

Chinese Vice Premier Wu Yi speaks during the beginning of the US-China Strategic Economic Dialogue hosted by US Secretary of Treasury Henry Paulson (L) in Washington, May 22, 2007. [Reuters]

China should push the United States during the Sino-US Strategic Economic Dialogue (SED) to lift controls on high-tech exports and ease trade protectionism, Chinese experts have suggested.

"Lifting US restrictions on high-tech exports to China will be a feasible way to achieve a more balanced trade between the two countries," said Li Zhongzhou, a former senior trade negotiator.

While complaining about the growing trade deficit, the US administration has enforced strict controls on high-tech exports to China for "security reasons".

Last July, it added license requirements for items defined as "military end-use", and made the application procedure more complicated.

"In particular, Washington should consider how to facilitate non-military high-tech exports to China," Li said.

Besides, the United States should curb trade protectionism and refrain from pressuring China to revalue its currency, Fang Xinghai, former deputy chief executive of the Shanghai Stock Exchange, was quoted by Financial Times as saying.

Mei Xinyu, a trade researcher with the Chinese Academy of International Trade and Economic Cooperation, said China could put forward a lot of issues during the negotiations.

One example, he said, is how the United States can lower its fiscal deficit and increase the savings rate at home to address the global imbalance in the current account.

He also suggested the two sides discuss eliminating the discriminatory treatment on Chinese investment and goods in the United States, especially in dumping charges and countervailing cases, and the resumption of the Doha Round of Talks of the World Trade Organization.

Li said China could take the opportunity of the SED and interaction with US legislators to let more Americans understand that trade with China does not hurt the interests of the United States - instead, it benefits both the US economy and its people.

Between 2000 and 2006, US exports to China increased 240 percent with growth far outstripping exports to the rest of the world in almost every state.

For example, exports to China from Vermont increased 13-fold; Delaware, 8 times; and South Carolina, more than 4 times.