Flags of the United States and China on the day of a bilateral meeting between the United States and China in Geneva, Switzerland on May 10, 2025.
Keystone/Eda/Martial Trezzini | By Reuters
China on Monday refuted Washington's claim that it broke the Geneva trade agreement and instead accused the United States of violating the deal terms and negotiations between the world's first two economies became worse.
The trade friction between Washington and Beijing exploded after a break between Treasury Secretary Scott Bessent and his Chinese rival in Geneva, Switzerland, which led them to suspend most tariffs on each other for 90 days.
The Donald Trump administration has raised restrictions on exports to semiconductor design software and chemicals, while announcing it will revoke visas for Chinese students, drawing IRE from Beijing.
A spokesman for China's Ministry of Commerce said the measures "seriously undermined" the deal.
Meanwhile, China, contrary to Washington's expectations, maintains firm control over its rare earth exports.
"The U.S. government continues to unilaterally cause new economic and trade frictions, increasing uncertainty and instability in bilateral economic and trade relations," the spokesperson said.
Last Friday, President Donald Trump accused China of violating a preliminary trade agreement with the United States in a social media post, and Trump wrote: "China, perhaps not surprising to some, is completely violating the agreement with us. So much because becoming a good man!"
A Chinese spokesman said on Monday the allegations were "seriously contrary to the facts", claiming that Beijing "strictly implemented and actively maintained" the agreement, citing it assaulting it had cancelled and suspended certain tariff and non-tariff measures announced in April in response to Trump's "commuting and" tariffs.
In a Fox News interview last week, Bessent said bilateral trade negotiations were "a bit stagnant" and asked leaders of both countries to speak directly.
On Sunday, National Economic Commission Director Kevin Hassett suggested that Trump and Chinese President Xi Jinping may have a dialogue on trade this week.
Tensions between the United States and China are not limited to trade.
Pentagon chief Pete Hegseth warned that the threat of increasing military pressure from China in the Indo-Pacific is “real” and “about”, urging allies to urge allies to promote Beijing’s defense tributaries.
The Chinese Defense Minister was absent at this year's summit, the tradition of sending senior military officials to previous annual events for the first time since 2019.
A spokesman for the Chinese Ministry of Defense criticized Heggs' speech for "inciting the Cold War mentality" and "seriously challenging China's sovereignty and rights."
After Hergs' speech, China's embassy in Singapore said in a social media post on Saturday that "the United States itself is the biggest 'troublemaker' of regional peace and stability."