BEIJING, Aug 18: China’s commerce ministry Thursday cited “fundamental differences” with the United States on textile trade issues as the reason for the impasse in their third round of talks.

“Because fundamental differences still exist on some of the principal issues, both sides agreed to continue negotiating in order to find a solution,” it said in a statement on its website.

The ministry said the two parties would try to create a favourable environment for the stable development of the bilateral textile trade.

A two-day meeting just ended in San Francisco failed to yield a deal to regulate rocketing volumes of Chinese textile shipments, which have worsened trade tensions.

US negotiator David Spooner said another meeting will “probably” reconvene, probably in China, by the end of August. —AFP