The key issue, economists say, is boosting productivity, something that requires a change in government incentives.

China has accused the US of "stirring up trouble" in the South China Sea in a fresh bid to stake claim to miles of international waters. Fu Cong, China's ambassador to the UN, this week launched into a series of attacks on America at the UN Security Council.

Washington had been a buffer against China’s efforts to use UNESCO to influence education, historical designations and even artificial intelligence.

China's Vice Premier He Lifeng will visit Sweden from July 27-30 for a new round of economic and trade talks with U.S. officials, the Chinese commerce ministry said on Wednesday.

The deployment of the Mid-Range Capability, or Typhon, system in the region has repeatedly irritated China. The US sees it as a key capability.

China controls over 80% of critical materials used in batteries essential for United States defense technologies, a new report revealed on Monday.

The European Union and China are preparing to agree a joint declaration on tackling climate change at a summit in Beijing on Thursday, EU diplomats told Reuters. European Commission President Ursula von der Leyen and European Council President Antonio Costa will visit Beijing on Thursday and meet Chinese President Xi Jinping,