USA defence strategists are broadly concerned by China's rapid advances in military technology and its increasing ability to project its offensive military might far into the Pacific and Indian Ocean regions, where the United States has been uncontested since World War II.
Katainen said Europe was not siding with Beijing in its dispute with Trump but was taking action to protect the global system of regulating free trade.
The news comes as U.S. Defense Secretary Jim Mattis was set to arrive in the Chinese capital for an official visit.
Meanwhile, after months of tough talk, the threats against China, Canada, Mexico and the European Union soon will turn into tariffs that are already triggering retaliation against USA exports.More news: Marin Cilic comes from behind to beat Novak Djokovic in Queen's final
Meanwhile, the Wall Street Journal reported that measures would likely target investments in the United States by any company with at least 25% Chinese ownership, as well as exports of technology by USA firms. Chinese investment has provided jobs and tax income for the USA, and it should view commercial activities "objectively", Foreign Ministry spokesman Geng Shuang told reporters in Beijing on Monday.
The disagreements were also about US tariffs on $34 billion worth of Chinese goods that are scheduled to go into effect on July 6, which China said would trigger retaliation involving its imports of American soybeans and motor vehicles.
Policymakers in China moved fast to temper any potential economic drag from the dispute, as its central bank said on Sunday it would cut the amount of cash some banks must hold as reserves by 50 basis points.
Consequently, PowerShares QQQ Trust, Series 1 (ETF) (NASDAQ: QQQ) closed down 2.3 percent, the S&P 500 Index 1.3 percent and the Dow Jones Industrial Average 1.3 percent.
As if to reinforce concerns about the economic outlook, the Dutch Bureau for Economic Policy Analysis on Monday published its latest trade monitor, showing world trade momentum dropped in April to the lowest since 2015.More news: Uruguay make their best start to a World Cup since 1954
Both China and the European Union have recently come under pressure from Trump on trade.
"China-U.S. military exchanges are important to bilateral relations and have made continuous progress", Chinese foreign ministry spokesman Lu Kang told a regular news briefing Tuesday in Beijing.
But the Communist government has resisted any change to its plans that call for challenging USA and European technology dominance by creating Chinese companies capable of competing in fields including clean energy, biotech and aerospace.
Beijing might agree to talks to deflect further sanctions but is unlikely to agree to changes that hamper its technology plans, said Mark Williams of Capital Economics. He also said both sides agreed to connect the Belt and Road initiative to the EU's development strategies.
China says it is within its rights to build up defences on islands in the South China Sea that it believes are its sovereign territory.More news: World Cup or Eurovision, Iceland keep on hoping
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