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Some building in disputed waters to finish soon: China
by Staff Writers
Beijing (AFP) June 16, 2015


US to host Beijing for high-level talks
Washington (AFP) June 16, 2015 - The US kicks off a "strategic and economic" dialogue with China next week, a way of addressing the numerous outstanding disputes between the two powers.

Secretary of State John Kerry and Treasury Secretary Jacob Lew are scheduled to receive State Councilor Yang Jiechi, a top foreign policy official, and Vice Premier Wang Yang on June 23 and 24, the State Department said Monday.

The meeting will be the seventh session of the "US-China Strategic and Economic Dialogue," and features the same four officials that met last year in Beijing.

The two nations are friendly on many fronts, but also have clashed on the international scene, most recently during the South China Sea dispute.

The State Department said only that the session will address "challenges and opportunities that both countries face" in areas "of immediate and long-term economic and strategic interest."

Beijing has shown it has serious ambitions in the South China Sea where China is squaring off against US-supported countries for the hydrocarbon rich area.

Tensions have also flared over numerous cyberattacks against US government agencies with Chinese suspects. In May 2014 five Chinese military members were indicted in the US for "hacking," causing diplomatic tensions.

The US also considers China's yuan currency undervalued and it has a large trade deficit with Beijing.

The two countries that are often rivals recently reached cooperative agreements on climate change and another over negotiations with Iran on its nuclear program.

China said Tuesday it would soon complete some of its land reclamation projects on disputed islands in the South China Sea, but that infrastructure work there would continue.

Chinese island-building in the strategic waters has alarmed its neighbours and fuelled tension between the Chinese and the US military around the Spratly Islands.

"As scheduled, China will complete its reclamation projects on some stationed islands and reefs of the Nansha Islands in a short time," a foreign ministry statement said, using the Chinese name for the Spratlys.

It did not say when precisely the work would end but described the work as "lawful, reasonable, sensible".

China, which regards almost all the South China Sea as its own, has intensified its building of artificial islands and facilities including airstrips in the contested waters in recent months.

After the completion of the reclamation projects, China would undertake "facility construction" to meet "relevant functions", said the statement, which did not specify which projects are nearing completion.

The South China Sea -- which is believed to be home to important oil and gas reserves -- is a major shipping route for international trade.

The Chinese military last month ordered a US Navy P-8 Poseidon surveillance plane to leave an area above the Spratlys.

But the American aircraft ignored the demand and said it was flying in international airspace.

US Defense Secretary Ashton Carter said last month that while other countries had also established outposts, China had reclaimed over 2,000 acres (809 hectares) in the past 18 months -- more than all other claimants combined.


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