In the wake of the recent summit between Chinese President Xi Jinping and U.S. President Joe Biden on November 15, significant positive developments have begun to unfold in China-U.S. relations. One of the most notable is Mastercard’s approval to conduct bank card clearing operations in China, marking a major milestone in financial cooperation between the two nations.
The People’s Bank of China and the National Financial Regulatory Administration announced on November 19 that they have approved Mastercard’s Chinese joint venture to begin clearing bank card transactions in the country. This approval allows Mastercard to issue yuan-denominated bank cards under its own brand, enabling Chinese cardholders to use their cards directly at over 100 million businesses worldwide.
“We bring three things to the market,” said Ann Cairns, Executive Vice Chair at Mastercard. “We bring our innovation, global connectivity, and the opportunity for partnerships with local players in the Chinese market to actually bring something new.”
The entry of Mastercard into China’s financial sector is expected to foster effective competition and deepen the supply-side structural reform of the payment industry, contributing to a stable bank card clearing market structure in China.
Beyond finance, other industries are also witnessing renewed cooperation. Chinese airlines have resumed several direct flights between Chinese and U.S. cities, including Air China’s flight CA817 from Beijing to Washington D.C. Additionally, Broadcom has received the necessary approvals from China’s anti-trust regulator, signaling progress in technology and business exchanges.
These developments illustrate China’s commitment to engaging with the world and acting swiftly on its promises made during the summit. From finance to aviation and technology, China has demonstrated a willingness to enhance collaboration with the United States.
“China, to its credit, has been fairly good about taking on board constructive criticism when it comes to improvements around the economy and infrastructure,” said Ben Harburg, member of the Board of Directors at the National Committee on U.S.-China Relations.
Stephen Orlins, President of the National Committee on U.S.-China Relations, emphasized the importance of rebuilding trust: “It’s important that you take little steps to rebuild trust, rebuild the belief in the people of China and the people of the United States that there are benefits from the China-U.S. relationship.”
As these significant steps are taken, the tide appears to be turning in China-U.S. relations. With continued effort and concrete actions, both nations can expect this positive trend to persist, fostering a new phase of cooperation that benefits not only the two countries but the global community as well.
Reference(s):
cgtn.com
