Zurich-Switzerland-January 18, 2023

Ahead of her meeting with Chinese Vice Premier Liu He in Zurich

US Treasury Secretary Janet Yellen stressed the need for close communication between the US and China on economic issues

"Amid a complex landscape of the global economy, there is an urgent need for the world's two largest economies to communicate closely on global macroeconomic and financial conditions," Yellen said at the start of her first meeting with Liu He.

She stressed that the two countries should"exchange views on how to respond to various challenges".

Yellen expressed hope that the meeting with Liu, with whom she had previously held virtual meetings on three occasions, would allow her "to delve deeper into topics of mutual interest, including macroeconomic cooperation and climate finance".

Wednesday's meeting comes amid intense diplomatic efforts to keep tensions between the two countries under control.

On Tuesday, a U.S. official confirmed that Secretary of State Antony Blinken would visit Beijing in early February.

Blinken will be the first US Secretary of state to visit China since October 2018, when his predecessor Mike Pompeo, known for his sharp criticism of Beijing, made a brief stop after talks with North Korean leader Kim Jong-Un in Pyongyang.

Blinken's visit was announced without a date in November when US President Joe Biden met his Chinese counterpart Xi Jinping in Bali on the sidelines of the group of twenty summits. At the time, the two presidents expressed cautious optimism that differences could not get out of hand.

During the meeting, the two presidents pledged to" continue to manage the rivalry between our two countries with a sense of responsibility and explore possible areas of cooperation, " according to a statement issued by the US State Department in November.

Referring to the meeting in Bali, Yellen stressed on Wednesday "a shared responsibility to show the ability of China and the United States to manage differences and prevent competition from turning into any conflict".

Yellen acknowledged that there are differences that will be discussed directly, but stressed that "misunderstandings, especially those caused by a lack of communication, should not be allowed to unnecessarily worsen our bilateral economic and financial relations".