Treasury Secretary Janet Yellen and Chinese Premier Li Qiang Discuss U.S. Actions to Protect National Security in High-Level Economic Dialogue

Treasury Secretary Janet Yellen has defended the United States’ actions to protect its national security in a meeting with Chinese Premier Li Qiang. Yellen referenced raids carried out in the spring by police on three companies that the Chinese government said were suspected of spying, without offering any evidence.

Yellen said that the United States will, in certain circumstances, need to pursue targeted actions to protect its national security. Among several measures, the U.S. in October announced sweeping export controls that restrict the ability of Chinese businesses to develop advanced semiconductors.

This week, China’s Ministry of Commerce said that starting Aug. 1, businesses in China wanting to export two metals used in the manufacturing of chips would need to apply for licenses. The ministry said Thursday the measures were not targeted at a specific country.

Despite some friction and chilly Beijing-Washington relations, Yellen said that the United States is committed to working with China to promote a more open, balanced, and mutually beneficial economic relationship.

The meeting between Yellen and Li Qiang is the first high-level economic dialogue between the two countries since the start of the Biden administration. The two leaders discussed a range of issues, including trade, investment, and technology.