US Commerce Secretary Don Evans said Thursday he had won a pledge from Chinese Premier Wen Jiabao to make efforts to lower China's massive 124 billion dollar trade surplus with the United States.
"Premier Wen said that he is committed to closing the trade gap," Evans told journalists as he wound up a six-day trip to China.
"The Chinese leadership said to us that they would like more American goods and services in aviation, power, transportation, construction, textiles, communications and others sectors of their economy," he said.
During his trip, Evans has been under pressure to address China's massive trade surplus with the United States and prevent the issue becoming a liability in President George W. Bush's re-election campaign.
"The goals of the Bush administration are to establish free and fair trade with China and to open Chinese markets to American exports to grow jobs back home," said Evans.
"American businesses and workers can compete and succeed with a level playing field with others around the world."
Evans underscored the compatibility of advanced and environmentally friendly US energy technology, while remarking on China's growing demand for electricity.
In a speech to US businesses Wednesday, he slammed China's heavy regulated and subsidized economy and demanded Beijing fulfill its World Trade Organization commitments to open up its markets to fair trade.
"There will not be a level playing field if China continues to drag its feet. The Chinese must show more cooperation and less manipulation," he said.
"It's clear that US industry feels that many of China's policies, including currency practices, place American companies at a significant competitve disadvantage," Evans said.
However, he admitted that during the first four months of the year, US exports to China had grown by 36 percent over the same period last year, when the trade surplus in Beijing's favour ballooned out to 124 billion dollars.
Evans held talks with Wen, Vice Premier Wu Yi, Vice Premier Zeng Peiyan and Minister of Commerce Bo Xilai.
He also travelled to the northwestern city of Xian and northeastern city of Harbin where China is making efforts to revitalize the impoverished and backward regions.
The two sides also agreed to continue discussions on China's desire to be classified as a "market economy," Evans said.
Evans discussed China's currency peg of 8.28 yuan to the dollar and was told China hoped to establish a more flexible currency regime, although no timetable was announced.
Under WTO rules, being designated a market economy would allow Beijing greater leeway in trade disputes, most notably in unfair trade practices linked to the dumping of exports on foreign markets at below the cost of production.
"We discussed market-based economy status," Evans said, adding that this was "an area where we will give serious attention in the months ahead."
From Beijing, Evans goes to the EU-US summit in Ireland and then heads to Mexico.Agence France Presse:
