China responded to President Trump on Monday , accusing the US of violating their trade agreement and has vowed to protect its interests, making it less likely that Trump will get the leadership call he wants to restart trade talks.
“If the US insists on its own way and continues to damage China’s interests, China will continue to take resolute and forceful measures to safeguard its legitimate rights and interests,” the The Chinese Ministry of Commerce said.
Beijing accused the US of introducing discriminatory restrictions, which include new guidelines on AI chip export controls and the withdrawal of Chinese student visas.
Earlier on Friday, Trump lashed out at China on Truth Social , saying China had "violated" its trade deal with the US.
"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!" Trump wrote. Later in the Oval Office, he hinted he planned to speak with Chinese leader Xi Jinping.
Trump did not specify how China allegedly broke the agreement. During an interview with CNBC , US Trade Representative Jamieson Greer claimed the Chinese were "slow rolling their compliance."
The escalation comes as the US-China detente — reached earlier this month, when each country eased sky-high tariffs on the other — looks more fragile amid both trade-related and other tensions.
President Trump said at a rally in Pennsylvania on Friday that he is going to double tariffs on steel imports from 25% to 50%.
The hike, the president said, "will even further secure the steel industry in the United States."
Meanwhile, Trump's most sweeping tariffs have entered a period of legal uncertainty. A federal appeals court allowed the tariffs to temporarily stay in effect, a day after the US Court of International Trade blocked their implementation , deeming the method used to enact them "unlawful."
That means Trump's tariff agenda remains intact, if in flux, in the latest twist in the unfolding legal saga that Trump said Friday he was confident he would "win."
Last week, the trade court had voted to block many of Trump's tariffs, including the flat-rate "reciprocal" tariffs aimed at US trade partners, as well as key China-focused duties.
The US Court of Appeals for the Federal Circuit, which oversees the International Trade Court, granted the Trump administration’s request for a temporary administrative stay. This gives the court time to review legal arguments and filings. The administration must submit its briefings by June 9, after which the court will determine the next steps.
The White House has vowed to take its appeal to the Supreme Court if necessary.
Administration officials also hinted that court rulings would not be the final say for a president who has based much of his economic agenda on enacting the tariffs. Yahoo Finance's Ben Werschkul has an overview of the other maneuvers Trump could pursue.
Amid the legal chaos, US trade negotiations have apparently continued in earnest this week with India and the EU.
Here are the latest updates as the policy reverberates around the world.
LIVE 1039 updates