A potential trade deal between the world’s top two economies hinges on Donald Trump and Xi Jinping overcoming core differences in their negotiation styles, former acting White House Chief of Staff Mick Mulvaney said.
“There’s a fundamental disconnect here,” Mulvaney told Bloomberg TV on Tuesday. “Trump wants to talk at the very highest levels. That’s not always how the Chinese want to do business.”
Mulvaney’s comments highlight a potential hurdle to a call between the leaders that the White House said is likely this week. Such direct contact could potentially ease tensions that have surged over access to chips and rare earths after earlier talks secured a 90-day reprieve for drastic tariffs.
Mulvaney, who also served as Trump’s budget director during his first term, said his former boss favours direct communications with the principal in business or politics alike. That approach, however, contrasts with the usual practice of the Chinese leader, who prefers that advisers iron out key issues beforehand.
“I do not see them being able to pull off a deal the old-fashioned way, which is going through the back channels,” Mulvaney said, speaking on the sidelines of the Nomura Investment Forum Asia in Singapore. “And I think it’d be very difficult to do a deal going the Trump way, which is only Xi to Trump man-to-man.”
White House Press Secretary Karoline Leavitt told reporters Monday the presidents are likely to speak this week, without giving a date for the “potential” call.
See also: Trump says China’s Xi is ‘extremely hard to make a deal with’
China’s Foreign Ministry did not immediately respond to a request for comment on a possible call. Hua Chunying, Vice Minister of Foreign Affairs, said on Tuesday at an event at the Italian embassy in Beijing that China is always open to talks, but reiterated that Washington needs to show sincerity.
Mulvaney replaced John Kelly as chief of staff during the first Trump administration but was never formally named to the role, serving over a year in an acting capacity. The former South Carolina congressman was also in charge of the Office of Management and Budget from 2017 to 2020.
He said he believes that the US and China can find a way to co-exist, provided that Beijing takes steps to become what he called a “leading nation of the world.”
“They can’t steal people’s intellectual property. They can’t force you into bad deals in order to do business in your country. They can’t hide information when they deal with pandemics, like they did with Covid-19,” he said. “First-tier nations of the world don’t do that. China’s going to be become a first-tier nation. They need to step up their game.”
