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US-China tensions

US-led digital trade proposal heats up new friction with China

Biden initiative risks dividing Asia into coalitions of the willing and unwilling

Washington's digital trade proposal eyes rules for cross-border data flows, privacy protection and artificial intelligence. The initiative includes many Asia-Pacific countries but excludes China.

TOKYO -- A U.S. initiative for a digital trade agreement to deepen ties with Asian economies faces an uncertain outcome as some countries in the region fear provoking a confrontation with China, which sees the deal as an attempt to encircle it.

Chinese President Xi Jinping took a veiled swipe at the Biden administration initiative during a regional summit last month.

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