on the chinese economy is in your policy specialist for the age of pacific region at the institute for china america studies because the group a group to thank you for joining us now 1st many published reports are carrying these signals from white house spokespeople and aides that mr trump president trump seems to want to build wanted least on the signal that he has the upper hand here the u.s. economy is hot and that he thinks the u.s. can easily afford in cost from the chair fight and china will have to sue for peace at some point is that an accurate assessment if that's what the president is thinking and what should the president know moving forward about china's economy as he makes that choice well the chinese economy has been soft for the last couple of quarters it has basically bottomed out and it's now on a slight upturn so the chinese economy is not going to get any worse it will get better but it will get better perhaps slowly what i see president trump is doing is trying to maintain what he feels is his leverage in the negotiations and at the same time. press it on to the chinese that they

institute. author of 100 year marathon, china's secret strategy to replace america as a global superpower. mr. pillsbury, thank you forus. the president and treasury secretary steve mnuchin both said the trucks were constructive. as i read it there is a pretty big impasse here. how do you read it? >> i agree. the word impasse is the correct word to use. we could use a term like breathing period. the chinese need to rethink their position. to get out of this mess from china's point of view they have got to undo the reneging if that is a phrase. they have also got to sort of close the deal that was sew close. mnuchin was talking about 90%. everybody according to rumors knows the last 10% is really sensitive stuff involving enforcement and other measures. for china to get out of this, but also to meet their own hard-liners requirements, means they have to put retaliatory tariffs on the americans fairly soon. they're pretty smart about how to do this. they will pick out products and sectors that have key senators like mitch mcconnell or chuck grassley involved. my book's thesis the chinese are pretty smart. they may be ou

organizations and financial institutions that have all been launched from chinese telecoms here in north america. while the sec has recently denied china's mobile license, they have had one for over two decades in china and have used this to execute cyber attacks. increases in market shares will only give them a larger platform attacks in less attributable ways. there need to be consequences for blatant attacks on the internet. as we discussed, access to a huawei router or zte based station could allow targeted surveillance, injection of malware could be used to defeat encryption on the world wide web. essentially, these devices can be into the -- stitched into the global internet fabric. gun want to see the smoking zte.awei and certainly they have demonstrated a poor track record when it comes to intellectual property rights, and even in giving bonuses to employees for stealing intellectual property from competitors. however, there is little direct efforts that there are -- evidence that security flaws are being introduced on behalf of the trainees government to enable pla operations the uk's oversight board reported several times throughout the proceedings and points to so