WASHINGTON (Reuters) – The economic burden of a trade war between the world’s two largest economies will shift to China, rather than the United States, President Donald Trump’s top economic advisor said on Thursday.
“The overall economic burden will hurt China more than it hurts us,” said Larry Kudlow, director of the White House’s National Economic Council.
The White House intends for President Donald Trump to meet with Chinese President Xi Jinping at the G20 summit in Japan later this month, though the meeting is not “formalized” yet, Kudlow said.
The United States kicked off a tariff battle with China in 2018, seeking sweeping structural changes from Beijing. But tensions between Washington and Beijing rose sharply in May after the Trump administration accused China of reneging on promises to make structural economic changes during months of trade talks.
Trump has said he would decide after G20, the meeting of the leaders of the world’s largest economies, whether to carry out a threat to impose tariffs on an additional $300 billion in Chinese goods.
(Reporting by Alex Alper and Chris Prentice; Editing by Chizu Nomiyama and James Dalgleish)