U.S. President Donald Trump on Monday offered an olive branch to China after days of intense feuding over trade that has spooked financial markets.
Trump also opened the door to diplomacy with Iran, easing tensions on the last day of a strained G7 summit.
The leaders of the world’s major industrialised nations, meeting in the French coastal resort of Biarritz, agreed on a deal to provide 20 million dollars in emergency help to Brazil and its neighbours stop the Amazon forest fires.
While they were not expected to leave Biarritz with a more comprehensive set of agreements or even a joint communique, Trump and his Western allies appeared to have at least agreed cordially to disagree on issues dividing them.
These ranged from Washington’s escalating trade war with China, which many fear could tip the slowing world economy into recession; how to deal with the nuclear ambitions of both Iran and North Korea.
This also include the question of whether Russian President,Vladimir Putin should be readmitted to the group.
Trump, a turbulent presence in 2018 G7 gathering, insisted during the Biarritz meeting that he was getting along well with other leaders of a group that also comprises Britain, Canada, France, Germany, Italy and Japan.
The trade war between the U.S. and China, the world’s two largest economies, escalated last Friday as both sides leveled more tariffs on each other’s exports.
On Sunday, a White House spokeswoman said that when Trump told journalists that he had had second thoughts about last week’s tariff blow against China, they were regret for not raising them more.
However, the mood-music changed abruptly on Monday, hours after China’s yuan fell to an 11-year low against the dollar amid fears that the quickening Sino-U.S. trade war would inflict more damage on the world’s largest economies.
Speaking on the sidelines of the G7 summit on Monday, Trump said he believed China wanted to make a trade deal after it contacted U.S. trade officials overnight to say it wanted to return to the negotiating table.
Trump hailed Chinese President Xi Jinping as a great leader and said the prospect of talks was a very positive development.
“He understands, and it’s going to be great for China, it’s going to be great for the U.S., it’s going to be great for the world,” he said.
In Beijing, Foreign Ministry spokesman, Geng Shuang, said he had not heard that a phone call between the two sides had taken place.
COULD MEET IRANIAN PRESIDENT
U.S. President Donald Trump and Iranian President Hassan Rowhani could meet within weeks, French President Emmanuel Macron said during a joint press conference with Trump.
Macron said that he had spoken by phone to Rowhani, who said that he was willing to meet “any political leaders if it was in his country’s interest”.
The call came after a surprise visit to the summit venue in France by Iranian Foreign Minister Javad Zarif the previous day.
Macron said that he told Rowhani that “if he was willing to meet President Trump, my conviction is that an agreement could be reached… And so I hope that in the coming weeks, on the basis of these discussions, we can have a summit meeting between President Rowhani and President Trump.”
Macron’s announcement comes after months of rising tensions in the Gulf region as Iran reels under the impact of harsh sanctions that Washington imposed after pulling out of an agreement to restrict Iran’s nuclear activities.
European states have been scrambling to save the nuclear agreement but have been unable to counteract the effect of the sanctions.