Janet Yellen, the US Treasury Secretary, has called on China to increase its funding and support for international climate institutions to address the urgent challenge of global heating. During a meeting with Chinese and international sustainable finance experts in Beijing, Yellen emphasised the need for efficient and effective climate finance. She urged China to collaborate with existing multilateral climate institutions such as the Green Climate Fund and the Climate Investment Funds, believing that greater cooperation could have a more significant impact on tackling the climate crisis.
Yellen's comments were made as part of her four-day trip to Beijing, following US Secretary of State Antony Blinken's visit. The United States aims to reduce tensions and highlight areas of collaboration with China, despite difficult bilateral relations. Yellen acknowledged that both countries, as the world's largest emitters of greenhouse gases and investors in renewable energy, have a shared responsibility and ability to lead in combating climate change.
While there have been tensions between the US and China on various issues, including climate, there are indications that climate talks may resume soon. US envoy John Kerry is expected to visit China to discuss cooperation on climate change. Yellen also emphasised the importance of close communication between Washington and Beijing on global economic and financial matters, as well as joint efforts to address international challenges like debt distress.
During her visit, Yellen engaged with individuals involved in climate finance and also met with Chinese Premier Li Qiang. The discussions focused on climate cooperation, global economic and financial affairs, and joint efforts to tackle common challenges. Yellen's meetings with US businesses also revealed concerns about China, including fair competition, reduced exchanges, and an uncertain business environment due to national security measures.
Improved relations between the US and China would benefit US companies operating in China, enhance investment sentiment, and create more opportunities for cooperation. The outcome of Yellen's talks and potential advancements in the US-China relationship could have significant implications for addressing global challenges such as climate change and debt distress.