BEIJING, April 7 (Reuters) - China has an understanding with the United States for each to respect the core interests of the other, a senior Chinese diplomat said on Wednesday, calling for positive ties ahead of a Washington trip by China's president following a period of tension.
An April 2 telephone call between President Hu Jintao and U.S. President Barack Obama "reached an important new consensus", Chinese Vice Foreign Minister Cui Tiankai told a news conference before Hu's trip to attend a nuclear security conference on April 12-13 hosted by Obama.
The two agreed their countries should "respect each other's core interests and major concerns, appropriately handling disputes and sensitive issues, strengthening communication and cooperation in various spheres," Cui said.
Cui declined to say whether the two presidents would specifically discuss China's currency, the yuan.
The U.S. has said it will delay a Treasury Department report that might have labelled China a "currency manipulator" from its original, April 15 deadline, a concession that allows Hu to visit without embarrassment and that the U.S. side hopes will sow cooperation from the Chinese to allow the currency to gradually appreciate. [ID:nTOE636033]
China and the United States had "different views" on financial and economic issues but also had "broad common interests", Cui said.
U.S. politicians have seized on the issue of the yuan, which some critics say is pegged at such an undervalued level that Chinese exporters enjoy an unfair advantage, thus distorting global trade.
China has repegged the yuan
U.S. Treasury Secretary Timothy Geithner said on Tuesday that he was confident China would see that it was in its own interest to adopt a more flexible currency. [ID:nBMA007294]
Ties between the world's biggest and third-biggest economies have also been ruffled by disputes over Chinese Internet controls, U.S. arms sales to Taiwan, and Obama's meeting with exiled Tibetan spiritual leader the Dalai Lama.
Beijing defines Taiwan and Tibet as "core issues" of its sovereignty, regarding self-ruled Taiwan is an illegitimate breakaway province, and condemning the Dalai Lama as a "separatist" for seeking self-rule for his homeland.