US and China will hold talks on income-tax treaty

The US and China will resume talks next month to develop an income-tax treaty. The talks could pave the way for greater investment by American businesses in China.

But the prospect of talks next month did nothing to temper China's response to the US decision to grant political asylum to Chinese tennis star Hu Na. The New China News Agency reported that the government lodged a strong protest with the US government. Quoting diplomatic sources, the news agency said the protest was contained in a note handed to US Ambassador Arthur Hummel by Vice Foreign Minister Han Xu.