Trump's accusations spark new tension in US‑China trade talks
U.S. President Donald Trump alleged that China had breached entirely the trade agreement, which, according to him, was intended to bring stability to the economies of both nations.
What do you need to know?
- Donald Trump accused China of violating the trade agreement that aimed to reduce tariffs between the USA and China.
- The US President expressed his outrage on social media, emphasising that China did not meet the agreement's terms.
- Trump did not specify what actions he intends to take in response to China's actions.
The President of the USA, Donald Trump, publicly accused China of a "total violation" of the trade agreement made with the United States. This agreement aimed to significantly reduce the mutual tariffs introduced as part of the trade war between these two countries.
"Two weeks ago China was in grave economic danger! The very high Tariffs I set made it virtually impossible for China to TRADE into the United States marketplace which is, by far, number one in the World. We went, in effect, COLD TURKEY with China, and it was devastating for them. Many factories closed and there was, to put it mildly, "civil unrest," wrote Trump on the platform truthsocial.com.
"I saw what was happening and didn’t like it, for them, not for us. I made a FAST DEAL with China in order to save them from what I thought was going to be a very bad situation, and I didn’t want to see that happen. Because of this deal, everything quickly stabilized and China got back to business as usual. Everybody was happy! That is the good news!!! " he added.
Trump emphasised that he made a "quick deal" with China, which was supposed to stabilise the Chinese economy.
"The bad news is that China, perhaps not surprisingly to some, HAS TOTALLY VIOLATED ITS AGREEMENT WITH US. So much for being Mr. NICE GUY!" the president assessed, without specifying what consequences he plans to impose on China.
Trump's trade war with China
On Thursday, U.S. Treasury Secretary Janet Yellen assessed that trade negotiations with China are "at some impasse." He added that reaching an agreement will probably require direct involvement from Trump and Chinese leader Xi Jinping.
In May, Beijing and Washington agreed to suspend tariffs on each other for 90 days. This agreement, described by the media as a temporary truce in the trade war, followed ministerial-level bilateral talks in Geneva.
As part of the solution worked out at that time, Washington and Beijing agreed to reduce tariffs temporarily - the USA from roughly 145% to 30% on Chinese products, and China from about 125% to 10% on American products.
