US-China Relations
Economic Talks
Following extensive talks with US Treasury Secretary Janet Yellen on 9-10 November, Chinese Vice Premier HE Lifeng said the two sides had reached “three important consensuses”:
- Both sides agreed not to seek economic
decoupling.
- Joint efforts to address common and global
challenges: financial stability and oversight; debt
problems for low-income and emerging economies;
international financial architecture; IMF quotas
and voting rights; multinational development banking
reforms; and climate change.
- More communication to manage differences and
avoid unintended escalation of friction. In addition
to a direct line of communication between He and
Yellen, the two sides decided to set up a US-China
Economic and Financial Working Group led by officials at the deputy-ministerial level.
On 1 September the Standing Committee of the National People’s Congress (NPC) approved the Foreign State Immunity Law (FSIL), to go into effect on 1 January 2024. The law has 23 articles that cover six major areas and limit exemptions for foreign actors:
CHINA'S FOREIGN STATE IMMUNITY LAW PROVISIONS:
- Foreign state immunity: Chinese courts can exercise jurisdiction over non-sovereign actions by foreign sovereign states, such as their commercial activities and their faults for personal and asset damages.
- Asset seizure by Chinese courts: Assets of foreign sovereign states, such as diplomatic assets, are exempted from distraint by Chinese courts, but their commercial assets are NOT exempt under certain conditions.
- Definition of foreign sovereign states: A foreign sovereign state includes the state itself, its government organizations, and individuals and entities that exercise sovereign actions on behalf of the foreign state.
- Role of China's Ministry of Foreign Affairs in FSIL cases: MFA should provide courts with necessary documents to handle FSIL cases and recommendations on cases and issues related to China's key national interests and diplomacy, giving MFA substantial sway in FSIL cases.
- Principle of reciprocity: China offers reciprocity to countries that give China similar immunities.
- Legal process for FSIL cases.
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