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He cited digital trade as an area where it may be possible to agree terms that surpassed those of the deal with the EU, but just like in the deal between the EU and Japan, agriculture was seen as a challenging topic, and there is also some divergence over rules of origin, with the UK wanting goods to count as British even if they contain a significant amount of parts made in Europe. Japan is not thought to favor such an approach.

He noted that in the next step, China should continue the transformation from resource-driven to innovation-driven. "The country should accelerate the improvement of independent innovation capabilities and industry technology standard leadership capabilities, and make innovation the driving force for development, in order to reduce renewable energy investment and operation and maintenance costs. It is necessary to do extensive research and forge important breakthroughs in core technologies."

He offered Tesla's factory in Shanghai as an example. "China has the largest fleet of motor vehicles in the world, which means a huge demand for electric vehicles in the country. Great changes will take place in China's auto industry," he said.

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He emphasized that China should follow three principles in promoting financial sector opening-up. First, the country will adopt pre-establishment national treatment and a negative list. Second, financial sector opening-up will go in tandem with the progress of exchange rate reform and capital account convertibility. Third, financial regulatory capacity should match the openness of the financial sector to prevent financial risks.

He discounted remarks by those who say the BRICS countries - Brazil, Russia, India, China and South Africa - are trapped by economic woes from their reliance on export-oriented growth. Xiao said China and other BRICS members have the potential to play a greater role in supporting global economic recovery.

He cited the trouble spot of the Middle East, where the best friends for the US are people who have been educated in the US.

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He decided to resume work overseas after Thailand announced a special tourist visa for Chinese visitors.

He made the comments at a news conference Sunday.

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He compared the situations in China and the US, saying Chinese companies' overall tax burden is still 13.3 percentage points higher than that of companies in the US.

He had been running second to Biden in most early polls but has fallen into third in recent weeks behind Biden and Warren.