China resisting US demands on digital trade, FT reports

Beijing is refusing to budge on one of several remaining obstacles to resolving its trade spat with Washington, America's demand that it ease its curbs on digital trade.

According to the Financial Times, which cited three persons briefed on the state of talks, China had yet to offer meaningful concessions.

US officials had asked China to stop discriminating against foreign providers of cloud computing services, that it limit requirements for companies to store data locally and eased limits on the transfer of data abroad.

The report came ahead of the expected visit by US trade representative, Robert Lighthizer, and Treasury Secretary, Steve Mnuchin's, to Beijing on 28 March, with Chinese vicepremier, Liu He, expected to travel to Washington during the following week.

One person familiar with the talks "suggested" China had tabled an offer that was later retracted, after the Americans had judged that it did not go far enough.

Also according to the FT, the end result of the ongoing trade talks remained completely 'up in the air' with the remaining sticking points being whether the US would maintain its existing tariffs and the need for an enforcement mechanism, such as allowing Washington freedom to impose additional punitive levies if it deems that China is not living up to its end of the bargain.