US-China talks end in increased tension and demand for $200bn trade deficit cut

Talks in Beijing between Steven Mnuchin and Liu He end in ‘significant disagreements over certain issues’Tensions between the US and China increased on Friday as it emerged US officials had handed Beijing a list of demands including a $200bn cut in its trade deficit and an end to state subsidies on strategic industries.The two days of talks in Beijing between Steven Mnuchin, the US treasury secretary, and Liu He, the vice-premier, ended on Friday after weeks of escalating rhetoric be