Tensions Flare as China Accuses US of Breaching Trade Agreement

0
22
China's President Xi Jinping . Photo Courtesy

Relations between China and the United States have hit a new low following Beijing’s sharp criticism of Washington’s actions, which China says violate the recently struck trade truce.

China’s Ministry of Commerce expressed strong disapproval, accusing the US of seriously undermining the deal agreed upon last month in Geneva. The truce had seen both countries roll back tariffs: the US reduced tariffs on Chinese imports from 145% to 30%, while China lowered its tariffs on American goods from 125% to 10%.

But Beijing insists the US has broken key commitments, including halting sales of critical computer chip design software to Chinese firms, issuing warnings against using chips made by tech giant Huawei, and cancelling visas for Chinese students. These moves, according to China, run counter to the spirit and the letter of the agreement.

The dispute intensified after US President Donald Trump declared last Friday that China had “totally violated” the pact, though specifics were initially vague. Trade Representative Jamieson Greer later clarified that China had failed to remove non-tariff barriers as promised.

China also referenced a January phone call between President Xi Jinping and Trump, claiming the US actions breached that mutual understanding.

Despite these setbacks, there is cautious hope for dialogue. Top White House officials indicated that President Trump and Xi Jinping might soon resume direct talks to salvage the fragile deal. Treasury Secretary Bessent told CBS News that finer details would be “ironed out” when the leaders connect, though no date was confirmed. Meanwhile, National Economic Council Director Kevin Hassett said on ABC News that both sides are eager to engage and a conversation is expected this week.

However, Chinese officials prefer resolving issues at lower diplomatic levels before escalating matters to their leaders.

As accusations fly and rhetoric heats up, the precarious nature of the current truce is laid bare underscoring the steep challenges ahead in securing a lasting US-China trade agreement.

LEAVE A REPLY

Please enter your comment!
Please enter your name here