FILE PHOTO: A Chinese national flag flutters at the headquarters of a commercial bank on a financial street in central Beijing, China November 24, 2014. REUTERS/Kim Kyung-Hoon/File Photo

TIANJIN, China (Reuters) - The impact on China’s economy from Beijing’s and Washington’s ongoing trade war is not significant, but the impact on stock and currency markets needs to be watched, an adviser to China’s central bank said on Tuesday.

Liu Shijin, a policy adviser to the People’s Bank of China, said at a conference in the city of Tianjin that it is normal for China’s economic growth rate to slow further, and that monetary policy should respond when there is significant downward pressure on the economy.

European Commission Vice President Valdis Dombrovskis said at the same conference that multilateral trade systems needed to be preserved.