China on Monday firmly denied reports that it is negotiating with the United States to resolve their ongoing tariff war, despite a series of claims by President Donald Trump and his top officials suggesting otherwise.
“Let me make it clear once again that China and the U.S. are not engaged in any consultation or negotiation on tariffs,” Chinese Foreign Ministry spokesman Guo Jiakun said during a press conference.
Guo also disputed Trump’s recent statement — made in a Time magazine interview — that Chinese President Xi Jinping had called him.
“As far as I know, there have been no calls between the two presidents recently,” Guo said.
This firm rejection reflects Beijing’s tough stance against Trump’s sweeping 145% tariffs on Chinese imports — a major blow to one of America’s biggest suppliers.
Meanwhile, Trump administration officials, including Treasury Secretary Scott Bessent, maintain that the U.S. is better positioned to win a trade war than China.
However, many American business owners and analysts are warning that the escalating standoff could soon lead to major problems like higher prices, product shortages, and store closures.
Growing Worries and Mixed Signals
While the White House projects confidence, concerns are rising.
Trump recently said his team would finish crafting several new trade deals within “three or four weeks,” and some U.S. officials appear more open to engaging with China.
“Every day we are in conversation with China,” said Agriculture Secretary Brooke Rollins during a CNN interview on Sunday.
When informed that China denies any talks, Rollins responded, “According to our team in Washington, conversations are ongoing about various trade goods going in and out.”
Rollins added, “The bottom line with China is this: They need us more than we need them.”
When Treasury Secretary Bessent was asked why China would publicly deny negotiations, he suggested, “I think they’re playing to a different audience.”
Pressed about whether actual talks were happening, Bessent said, “We have a process in place. And again, I believe these Chinese tariffs are unsustainable.”
Bessent also predicted a “very near future” de-escalation with China.
Asked on Fox News if he was worried about U.S. consumers facing empty store shelves, he replied, “Not at present.”
He credited American retailers for preparing ahead, saying, “I assume they preordered. We’ll see some elasticities, some replacements, and we’ll see how quickly the Chinese want to de-escalate.”
During a separate CNBC Squawk Box interview, Bessent emphasized that the next move lies with China, while declining to negotiate “through the press.”
China’s Conditions for Talks
China has repeatedly insisted that Trump must first remove his sweeping tariffs before meaningful discussions can begin.
“If the U.S. really wants to resolve the problem, it should cancel all unilateral measures on China,” a Chinese Ministry of Commerce spokesman said last week, in a statement translated by CNBC.
That response came after Trump claimed U.S. and Chinese officials had held a meeting, although he did not clarify who attended.
Earlier, Trump had also said that U.S. officials were “actively” engaged in talks with China — a claim Chinese officials have continuously denied.
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