Interview: Breakthrough expected in China-U.S. economic cooperation: expert (2)

CLIMATE CHANGE, ENERGY COOPERATION

Huang believes climate change is also on the agenda of the upcoming S&ED as it can be a source of cooperation rather than competition.

In April, China and the U.S. agreed to launch a working group on climate change and work closely to reduce the production and consumption of hydrofluorocarbons (HFCs), potent greenhouse gases that flow through refrigerators and air conditioners.

"China is experimenting with options in terms of taxing carbon, more so than is being thought about in the United States. So I think both sides can learn a lot and benefit by collaboration," Huang said.

As China has a massive production capacity, while the U.S. has the highest technology standards, Huang hopes the two sides can elevate cooperation on renewable green technologies to get their costs down to affordable levels.

"They should be able to partner and get a cooperative solution on both sides. But right now they are actually fighting each other with accusations on subsidizing green technology," he argued.

Huang also said China should welcome the U.S. to participate in its shale gas exploration, as American oil and energy companies have advanced drilling and survey technologies.

"If they did so, China could move much more rapidly forward in developing oil and gas reserves, which could substitute for coal. Otherwise I think China will lag by a decade or more if they try to do it themselves," Huang noted.