China-U.S. Track 2 economic dialogue adds to increasing efforts to stabilize relations

A senior Chinese diplomat met on Thursday with a U.S. delegation participating in the China-U.S. Track 2 economic dialogue, signaling continuously increasing interaction between the world’s two biggest economies and improving signs in bilateral ties.

Coming at a time when China and the U.S. are seeking to stabilize bilateral ties through increased official exchanges, such dialogue is conducive for the two countries to further improve mutual understanding and create a favorable atmosphere for a possible high-level summit, experts noted.

Yang Tao, director general of the Department of North American and Oceanian Affairs of China’s Foreign Ministry, met with the U.S. delegation led by Carla Hills, honorary chair of the National Committee on U.S.-China Relations (NCUSCR) and former U.S. trade representative Stephen Orlins, president of the NCUSCR, according to China Media Group on Thursday.

The China-U.S. Track 2 economic dialogue is an important part of the Track 2 dialogue mechanism that brings academics, former officials and industry leaders from the two countries to discuss issues in the bilateral ties. The mechanism has become a crucial platform for the two countries to build mutual understanding and stabilize bilateral relations, experts noted.

The bi-annual Track 2 economic dialogue has become a crucial platform for Chinese and U.S. economists and business leaders to exchange views on macroeconomic trends, trade and investment policies, and collaborative pathways to build trust and improve the Chinese-U.S. economic relationship, according to the NCUSCR.

The meeting between Yang and the U.S. delegation suggested that another round of the Track 2 economic dialogue is underway, which adds to growing signs of increased exchanges between not just officials but also academics and business leaders of the two countries.

The previous Track 2 economic dialogue took place in January, when the National School of Development of Peking University led a delegation of Chinese academics and business leaders to New York, according to a statement from the school.

This was the first offline Track 2 economic dialogue since the outbreak of the COVID-19 pandemic and major topics included the economic outlook and policy prospects, prospects for China-U.S. trade and economic relations, costs and difficulties of de-coupling, and possible areas of cooperation.

While it remains to be seen what the topics for the latest round of the Track 2 economic dialogue will be, the talks are in line with increasing exchanges between Chinese and U.S. officials in areas such as the economy and trade in recent months.

On September 22, following meetings between senior Chinese and U.S. officials, China and the U.S. agreed to set up two working groups for economic and financial matters in a major step that helps stabilize bilateral ties, which had been on a downward spiral.