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Recently, there was high-profile news about the upcoming visit of US Treasury Secretary Janet Yellen to China. The Treasury Department officially confirmed this on July 3, announcing that Yellen would visit China from July 6 to 9, however, little information was publicly disclosed.
From the message, we can get some clues. Unusually, Yellen's trip was four days long, a rarity for an official in charge of actual finances. This has led to speculation: What is her plan, and it will take so long to have in-depth exchanges with the Chinese side? Maybe it's about U.S. Treasuries, maybe it's related to Sino-US economic cooperation.
In order to ensure that Yellen's visit to China went smoothly and received a positive response from the Chinese side, the United States has recently repeatedly sent signals of goodwill. Surprisingly, CIA Director William Burns publicly praised China's development over the past five decades in a speech, calling Chinese people commendable and insisting that decoupling from China would be foolish. The CIA, an intelligence agency, has never been involved in trade before, so this statement has attracted widespread attention.
However, things seem to be taking a turn and now it is China's turn to take a tough stance against Yellen. First of all, according to the latest news from the Joint Staff Monitoring Department of the Japanese Self-Defense Forces, the Chinese Navy's Type 052D guided-missile destroyer Baotou and Type 075 amphibious assault ship Guangxi recently crossed the Osumi Strait into the Pacific Ocean, while the Chinese Navy's Type 054A guided-missile frigate Anyang and Type 903A integrated supply ship Chaohu also crossed the waterway between Amami Oshima and Yokodang Island into the Pacific Ocean. Judging from the warship route map provided by the Japanese side, this voyage directly crossed the island chain with the strongest Japanese defense line, which aroused the vigilance of the Japanese side.
Another major news is that the Chinese J-20 fighter has been officially upgraded with a domestic turbofan 15 engine, which not only significantly improves the performance of the J-20, but also improves its production controllability. Interestingly, the J-20 made its debut on January 11, 2011, coinciding with U.S. Secretary of Defense Robert Gates' visit to China. Now, Yellen is about to visit China, and the Chinese side has once again released important news related to the J-20, which cannot help but raise speculation about whether there is some connection between the two.
In general, although Yellen's visit to China has been postponed for a while, it is still of positive significance for Sino-US economic exchanges. Yellen's trip was clearly to discuss and resolve practical issues, and the four-day trip was not a rhetoric. However, now the initiative of Sino-US exchanges is on the Chinese side, and although the US side has made some concessions, the Chinese side has also shown a tough position through actions. Therefore, we can expect possible results for Yellen's visit to China, but we must also be cautious about the change in dynamics reflected in these two events. At this critical juncture, the direction of Sino-US relations remains uncertain.
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