Another round of China-Japan talks scheduled to solve trade dispute

Another round of China-Japan talks scheduled to solve trade dispute

Agence France-Presse, Beijing

China and Japan are to begin yet another round of talks in an attempt to solve a dragging eight-month long trade dispute, officials from both countries said Tuesday.

The negotiations in Tokyo on Wednesday will come only two days before Japan is due to decide whether the temporary import restrictions on Chinese farming goods which sparked the row should be extended.

China's vice minister at the Ministry of Foreign Trade and Economic Cooperation (MOFTEC), Sun Zhen Yu, will head a Chinese delegation to take part in the talks, a MOFTEC official said.

The meeting follows talks last week in Beijing between China's minister for Foreign Trade and Economic Cooperation Shi Guangsheng -- who is not attending the new talks -- and his Japanese counterpart Takeo Hiranuma and Agriculture, Forestry and Fisheries Minister Tsutomu Takebe.

"There was an interesting exchange of ideas (at last week's meeting) and we are trying to build on that," a Japanese embassy official in Beijing said.

The tit-for-tat dispute began in April when Japan slapped 200- day import restrictions on three farm imports -- spring onions, shiitake mushrooms and rushes used to make traditional Japanese tatami mats -- mostly imported from China.

China retaliated in June by imposing 100 percent punitive tariffs on imports of Japanese motor vehicles, air conditioners and mobile phones.

Japan, which said cheap imports of the three agricultural products were harming its farmers, must decide by Friday whether to impose four-year safeguard measures on the products.

Tokyo insists the import restrictions are in line with the rules of the World Trade Organization, which China officially joined on Dec. 11 after 15 years of negotiations.

Both countries said Tuesday they remained hopeful of reaching a settlement.

"The two sides have both expressed their hope that the trade dispute will be settled through bilateral talks," the MOFTEC official said.

The Japanese official said: "Both China and Japan believe we should take care of this issue through negotiation."

Neither were able to say how long the talks would last.