
China’s authorities are outraged. They have declared that they did not violate the trade truce signed in Geneva last month.
China’s Ministry of Commerce has rejected US President Donald Trump’s allegations of breaching the trade deal. Moreover, China’s authorities stated that they “took the agreement seriously and strictly adhered to the terms reached during the negotiations in Geneva.”
China emphasized in its statement that Washington had made “false accusations” and unjustly blamed Beijing for violating the agreement. “China firmly rejects these baseless accusations,” the Ministry of Commerce stressed.
Late last week, President Trump targeted Beijing for allegedly breaching several provisions of the Geneva Agreement. However, the US president did not specify which exact clauses had been violated.
China, for its part, did not remain silent. China’s government has repeatedly criticized Washington for imposing severe restrictions on its semiconductor industry, arguing that such measures could undermine the Geneva Agreement.
Earlier, Trump’s administration admitted that trade negotiations with China had reached a deadlock and that a direct conversation between the US president and his Chinese counterpart Xi Jinping might be necessary to resume dialogue.
Washington and Beijing became entangled in a sharp tariff dispute after Trump slapped heavy duties on Chinese goods, prompting retaliatory measures from China. The recent Geneva Agreement somewhat eased tensions and led to a considerable reduction in tariffs. However, overall tariff rates remain elevated. Besides, recent economic data shows that the tariffs have had a negative impact on China’s economy.
*The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade.

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