BEIJING — Tensions between the world’s two largest economies escalated again after the Chinese government accused the United States of committing a serious violation of the trade agreement reached last month in Geneva.

In an official statement issued by China’s Ministry of Commerce on Monday, Washington was said to have unilaterally undermined the outcome of negotiations that had led to tariff reductions on various goods from both countries.

“The US has seriously breached the agreement reached both in Geneva and during a phone call between President Xi Jinping and President Donald Trump last January,” said a ministry spokesperson, as quoted by the BBC on Wednesday (4/6).

Beijing’s statement followed President Trump’s accusation that China had broken the trade deal, although he did not provide further details on the alleged violations.

However, US Trade Representative Jamieson Greer claimed that China had failed to remove non-tariff barriers as previously agreed.

The trade agreement announced in Geneva in May had initially raised hopes of a de-escalation, with the US lowering import tariffs on Chinese goods to 30%, while China reduced import duties on US products to 10%.

But Beijing stated that a series of recent US actions—including the ban on chip sales to Chinese firms, the prohibition of Huawei chips, and the revocation of Chinese student visas—have undermined the spirit and letter of the agreement.

Despite the rising tensions, two senior White House officials signalled that high-level communications between President Xi and Trump remain possible.

As reported by IDNFinancials.com, US Treasury Secretary Scott Bessent expressed hope that Xi and Trump could speak directly to ease the tariff dispute, although he did not provide a specific timeline.

Meanwhile, National Economic Council Director Kevin Hassett said in an interview with ABC News that talks could take place this week, and both parties had expressed willingness to engage.

Separately, President Trump last week announced plans to double tariffs on steel and aluminium from 25% to 50%, effective this Wednesday.

In a speech in Pittsburgh, Trump said the move would bolster the domestic steel industry and reduce reliance on China. (EF/ZH)