Chinese President Hu Jintao pledged to President George W. Bush on Thursday that China will make more trade concessions and does not seek an excessive trade surplus with the United States.

After talks between the two leaders at the White House Oval Office, Bush said he hoped China would allow its yuan currency to appreciate in order to improve the climate for U.S. exports.

Hu said China has taken some steps to improve the trade climate and would do more, specifically on trying to stem the illegal piracy of American software and DVDs.

In words welcomed by Bush, Hu said China pursues a policy of boosting domestic demand and does not pursue an excessive trade surplus.

Hu also said he believed U.S.-Chinese trade frictions can be resolved through negotiations on an equal footing.

Hu urged the United States to relax controls on high-tech exports as a way to improve the U.S. trade deficit with Beijing

China George W. Bush U.S.