Australian Prime Minister Scott Morrison has warned that collateral damage from trade spats between China and the United States were hurting smaller countries and threatening the global economy.

Morrison said the world’s most important bilateral relationship, the US-China relationship had become strained. Speaking in Sydney, he said that the global trading system is under pressure and the impact of any further deterioration of the relationship will not be limited to these two major powers.

His comments come on the eve of a G20 summit in Osaka, Japan. The G20 Summit will be overshadowed by talks between Chinese President Xi Jinping and US counterpart Donald Trump, aimed at easing tensions between the world’s two largest economic powers.