US President says China wants to negotiate a trade war

BIARRITZ, France (Reuters) – President Donald Trump said Monday that China wants to reach a trade deal after contacting US trade officials overnight to signal its intention to return to the negotiating table.

The chief Chinese negotiator in the US trade talks said on Monday that Beijing was willing to resolve its trade dispute with the United States through "serene negotiations" and resolutely opposed the escalation of the conflict.

Speaking on the sidelines of the G7 summit in Biarritz, Trump praised Chinese President Xi Jinping as a great leader and said the prospect of negotiations was a very positive development for the world.

"China last night called our leading trade representatives and told them," let's go back to the table, "so we'll come back to the table and I think they want to do something," Trump said on the sidelines. G7. meeting.

"They were seriously injured but they understand that it's the right thing to do," he said.

An increasingly fierce trade war between the world's two largest economies intensified sharply on Friday as both parties further increased tariffs on their exports.

Before Mr. Trump spoke, the global stock markets collapsed, while the Chinese currency, the yuan, fell to its lowest level in 11 years. Investors flocked to the safe ports of sovereign bonds and gold.

The negotiations will start very soon, said Trump.

"I think we will have an agreement," he added. "They have incredibly complex supply chains and people all leave and they go to other countries, including the United States by the way, we will have many too."