US-China economic talks set next month
Top US and China economic officials will meet in Washington on May 9 and 10 for the next round of bilateral strategic and economic talks.
The two world's biggest economies will discuss differences over trade and currency policies, says the US Treasury Department.
Tension however is expected in next month's talks as the U.S. is expected to continue to press China to allow China's currency to appreciate at a faster pace and lower barriers to U.S. imports.
The European Union and the US, China's major trading partners, have raised concerns that the Chinese government has been engineering an economic strategy that gives advantage to the country's manufacturers, by keeping its currency artificially low to help exporters sell products or services abroad.
A lower valued currency makes Chinese goods cheaper in foreign markets compared with other competitors.
China is currently the world's largest exporter and the growth of its economy over the past few years has been powered by the success of its export sector.
Although the Chinese government has been allowing the yuan to slowly appreciate at almost 5% against the US in the last year, the Chinese currency remains undervalued compared to currencies like the euro and US dollar.
China has maintained that a sudden change in its currency policy will be detrimental not only to its export sector but to its overall economy.
Treasury Secretary Timothy Geithner and Secretary of State Hillary Clinton will be joined for the talks in May by Chinese Vice Premier Wang Qishan and State Councilor Dai Bingguo.
Economic issues were front and center during talks between US President Barack Obama and Chinese President Hu Jintao during the latter's state visit last January.#30