China Blasts U.S. Over Trade Pact Breach: Tensions Mount!

China Strikes Back at Trump Over Trade Truce Accusations

The trade tensions between the world’s two biggest economies are heating up once again. On Monday, China accused the U.S. of breaching the 90-day trade truce, a deal that was meant to pause their damaging tariff war. The accusation came after President Donald Trump claimed last week that China had “totally violated” the agreement. 😬🔥

In May, both sides agreed to a 90-day halt on escalating tariffs, with Trump hailing it as a “total reset.” But on Friday, he took to his Truth Social platform, declaring, “China has TOTALLY VIOLATED the deal!” 🚨

China’s Ministry of Commerce didn’t waste time firing back, saying in a statement that the U.S., not China, was the one flouting the agreement. “While China has actively implemented the deal, the U.S. has introduced a series of discriminatory and restrictive measures,” the statement read.

Among the steps Beijing is angry about:

🔹 The new U.S. export controls on AI chips
🔹 A pause on selling chip design software to China
🔹 Announced plans to revoke visas for Chinese students

“Instead of reflecting on its own actions, the U.S. has falsely accused China of breaking the consensus,” the ministry said. “China firmly rejects these groundless accusations and urges the U.S. to correct its errors immediately.” ⚖️

Beijing also warned that it will take “strong and resolute” measures if Washington continues to act “unilaterally and harm China’s interests,” though it didn’t say what those actions might be.

🌏 Security Concerns Stir the Pot

As if the trade spat wasn’t enough, tensions soared further over the weekend after Defense Secretary Pete Hegseth delivered a tough speech in Singapore. Speaking at the Shangri-La Dialogue, an annual security forum, Hegseth called on U.S. allies to bolster their defenses in the Indo-Pacific, warning of what he said was an “imminent” threat from China. 🛡️⚠️

“It has to be clear to everyone that Beijing is credibly preparing to potentially use military force to alter the balance of power in the region,” he said.

China’s Ministry of Foreign Affairs quickly condemned Hegseth’s remarks, saying they were “filled with provocations” and designed to “sow discord.” According to Beijing, Hegseth “deliberately ignored the region’s call for peace and development” and instead “vilified China with defamatory allegations.”

“The U.S. has deployed offensive weaponry in the South China Sea and keeps stoking tensions in the Asia-Pacific, turning the region into a powder keg,” China’s statement added. 💥🌋

⚙️ Rare Earths: The New Flashpoint

Meanwhile, rare earth minerals — vital to industries from tech to energy — are now in the spotlight. On Sunday, Treasury Secretary Scott Bessent said China was “holding back” rare earth exports it had promised to release as part of the truce. 🪨🔋

“That is not what a reliable partner does,” Bessent told CBS’s “Face the Nation.”

Rare earths are essential for products like smartphones, electric vehicles, and even military systems. China controls 60% of global supply and 90% of refining, making it a key player in this critical market.

Bessent, who last week admitted that U.S.-China trade talks were “a bit stalled,” expressed some optimism that this could be resolved in an upcoming phone call between Trump and Chinese President Xi Jinping.

“Maybe it’s a glitch in the Chinese system, maybe it’s intentional. We’ll see after the president speaks with the party chairman,” he said.

🏛️ Are the Leaders Going to Talk?

Kevin Hassett, director of the National Economic Council, also hinted Sunday that a conversation between the two leaders could happen as soon as this week. “President Trump, we expect, is going to have a wonderful conversation about the trade negotiations this week with President Xi,” he said on ABC’s “This Week.”

However, no date has been set yet. The last time Trump and Xi spoke publicly was back in January, just days before Trump’s second inauguration. 📞🗓️

🔍 What’s Next?

With both countries hurling accusations and no clear resolution in sight, the fragile truce appears to be hanging by a thread. Beijing’s promise of “resolute measures” and Washington’s continued push for rare earth exports are just the latest signs that tensions aren’t going away anytime soon.

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