US House Speaker McCarthy praises Taiwan talks, China Foreign Ministry alleges break of commitment
US House of Representatives Speaker Kevin McCarthy crossed wires, via Reuters, late Wednesday while praising talks with Taiwanese President Tsai Ing-Wen. The Diplomat, however, ruled out chatters of his visit to the Asian nation by saying, “I don't have any current plans to visit Taiwan but that doesn't mean I will not go.”
Additional comments
We must continue arms sales to Taiwan.
We must strengthen our economic cooperation, particularly with trade and technology.
Congressional meeting shows we take our support for the people of Taiwan seriously.
America's support for the people of Taiwan will remain resolute, unwavering and bipartisan.
US arms sales to Taiwan must be delivered on timely basis.
We look forward to more meetings like this in the future.
We support Taiwan and we're going to turn those words into action in this congress.
It is not our intention to escalate tensions with China.
There might be further ramifications for Chinese balloon flight over US.
There is no need for retaliation from China for meeting with Taiwan president.
China cannot tell me where I can go or who I can meet.
China should engage with US.
We talked about how We can speed up Weapons going to Taiwan.
Believes there is a bipartisan position on need to speed up arms deliveries to Taiwan.
Soon after the comments from US House Speaker McCarthy, China’s Foreign Ministry Spokesperson crossed wires and alleged the US of breaking its commitment on the Taiwan issue. The following are additional statements from Chinese Foreign Ministry Spokesperson:
China firmly opposes and strongly condemns the acts.
US colluded with Taiwan authorities, connived at attempts by separatists seeking "Taiwan independence" to carry out political activities on US soil.
Action of McCarthy has seriously broken the commitment made by the United States to China on the Taiwan question.
In response to 'seriously erroneous acts of collusion', China will take resolute and effective measures to safeguard national sovereignty, territorial integrity.
Market reaction
The news could weigh on the AUD/USD price which is picking up bids to pare recent losses around 0.6720 by the press time.
Also read: AUD/USD regains 0.6700 in a corrective bounce ahead of Australia trade numbers, China PMI
Author
Anil Panchal
FXStreet
Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.
