As Trade War Persists, China's Mnuchin Says Talks Have 'Broken Down'



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WASHINGTON – The trade war between the United States and China showed no signs of yielding on Thursday, as Steven Mnuchin, the Treasury Secretary, told the law of the United States of America (19659002 ] Mr. Mnuchin, who has tried to avoid calling the trade tensions with China has "war," said talks with Beijing had "broken down" and suggested it was up to China to come to the table with concessions. President Trump, speaking in Brussels on Thursday, described the trade talks with China as a "nasty" battle.

The Chinese, meanwhile, accused the United States of "acting erratically" and said the administration had "blatantly abandoned the consensuses that "

Republicans and Democrats on the House Financial Services Committee showed little patience for Mr. Mnuchin's answers about the lack of progress

China has also had difficulty figuring out who to negotiate with, with Mr. Mnuchin and Wilbur Ross, the trade secretary, fell through.

"I think they're coming to the conclusion that it does not matter whether or not they're really figuring out what trump wants," said Claire Reade, senior counsel at Arnold & Porter Kaye Scholer.

In a sign of the impasse that the dialogue between China and the United States has reached, the Chinese Ministry of Commerce issued a statement on Thursday arguing that it has been unfairly vilified with false claims

"This is a distortion of facts, thus groundless," the ministry said. "For the purpose of meeting domestic political needs and suppressing China's development, the U.S. has fabricated a set of policy arguments that distort the truth about Sino-U.S. economic and trade relations. "

Mr. Mnuchin said on Thursday that Mr. Trump would not do anything to jeopardize economic growth. He insisted that he would be persuaded to promote such businesses as Harley-Davidson, the motorcycle maker, not to move manufacturing to the breadth of retaliatory tariffs.

While Mr. Mnuchin was successful in staving off draconian new Chinese investment restrictions, the tariffs have kept coming and it remains unclear how much influence he really has with Mr. Trump. Despite his private reservations, Mr. Mnuchin continues to defend the administration's trade policies.

"I can assure you that the President is in my opinion," Mr. Mnuchin said in response to a question from Representative Gregory W. Meeks, Democrat of New York. "He is the president. Sometimes he follows my advice, and sometimes he does not, which I respect. "

Unimpressed, Mr. Meeks mocked Mr. Trump for describing himself for the second time on Thursday a" very stable genius "and asked the Treasury the same way

"I am stable," Mr. Mnuchin said with a chuckle.

Ana Swanson contributed reporting.

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