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TALKING POINTS

US-China resolution expected soon, GE’s Culp says

TRADE

US-China resolution expected soon, GE’s Culp says

US-China relations will continue to evolve as negotiations between the two countries stretch over decades, but a resolution to the current trade dispute will likely happen in the “not too distant future,” General Electric Co.’s chief executive Larry Culp said. His comments came as Treasury Secretary Steven Mnuchin said the United States is open to facing “repercussions” if it doesn’t live up to its commitments in a potential trade deal with China, a sign that the two sides are edging closer to an accord to end their nine-month trade and tariff war. “There’s a politically expedient resolution relative to trade numbers, a big order here, a big order there,” Culp said at the Harvard College China Forum. “Substantively, our sense is that both governments should like to advance the conversation, maybe not once and for all, but in a meaningful way with respect to access and intellectual property.” He’s also concerned that pulling back from China, where GE started doing business as early as 1906, would open up a void that its competitors in Japan and Europe would be “very quick” to fill. China is GE’s biggest market by revenue after the United States, he said. The IMF cited trade tensions as a risk in the past week as it cut its outlook for global growth to the lowest since the financial crisis a decade ago. — BLOOMBERG NEWS

AVIATION

American Airlines cancels Max flights through mid-August

American Airlines announced Sunday that it was canceling 115 flights per day through mid-August because of ongoing problems with the Boeing 737 Max aircraft. The announcement made American the second major carrier to cancel Max flights through the busy summer season. Southwest Airlines, the largest operator of Boeing jets, announced last week that it would cancel its Max flights through Aug. 5. American’s cancellations will last through Aug. 19. The United States and other countries grounded Boeing’s 737 Max plane in mid-March after deadly plane crashes in Ethiopia and Indonesia. Boeing aims to finish fixing the planes in late April, and any changes would have to be submitted to the Federal Aviation Administration and foreign regulators for approval. American previously planned to cancel Max flights through early June. But by extending cancellations through the summer, the airline can plan more reliably for the peak travel season, said Doug Parker, American’s chairman and CEO, and Robert Isom, president, in a letter to employees Sunday. Airlines are being forced to ground their planes longer than expected after Boeing and the FAA said the company needs more time to complete changes to a flight-control system suspected of playing a role in the crashes. American’s cancellations represent 1.5% of its total flights each day of the summer. The airline, which has 24 Max jets, said its reservations and sales teams will work with customers to manage their travel plans. — ASSOCIATED PRESS

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INTERNATIONAL

China, Japan tout ‘recovered’ ties amid global uncertainty

China and Japan have the opportunity to ‘‘take charge of the economic field’’ during a time of worldwide uncertainty, Japan’s foreign minister said Sunday, as trade pressures from the United States have prompted both countries to seek alternative markets. Foreign Minister Taro Kono met with his Chinese counterpart, Wang Yi, in Beijing to discuss youth exchanges and economic relations between the two countries, whose ties ‘‘completely recovered’’ last year, according to Kono. The relationship was turbulent in previous years due to an unresolved dispute over islands in the East China Sea. High-level exchanges were frozen in 2012 after Japan nationalized the small group of remote islands claimed by Beijing. The act set off violent protests in China and sent Japanese investment and tourism into a nose dive. Trade and investment have since rebounded, and companies from the two nations are considering joint projects in third countries such as Thailand. While ‘‘the current economic situation is complicated and profoundly changing,’’ Wang said, ‘‘Sino-Japanese economic cooperation is constantly advancing at a solid pace.’’ — ASSOCIATED PRESS

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