Besant says talks between the United States and China are continuing despite Beijing’s harsh rhetoric

In its strongest response yet to the latest US trade measures, China said on Monday it “firmly rejects” the new restrictions imposed by Washington and urged the Trump administration to honor commitments made between the two leaders in previous phone calls.

“China firmly rejects the recent US restrictions and sanctions on China and will do what is necessary to protect its legitimate rights and interests,” the Chinese Foreign Ministry wrote on the X website.

Trump threatens to impose “huge” tariffs on China and sees “no reason” to meet with Xi

He added: “Threatening to impose high customs duties is not the right way to deal with it China. The statement added that the United States must correct its approach and act based on the joint understandings reached by the two presidents in their phone calls.

Tensions rose last week after China said on Thursday it would expand export controls on rare earths. Relations took another tense turn when the president took office Donald Trump He outlined his countermeasures against the world’s second-largest economy the next day.

Back-and-forth between the world’s two largest economies sent markets tumbling on Friday and added new pressure to an already fragile relationship.

Trump says: Don’t worry about China after Beijing responded to the threat to impose 100% tariffs

Over the weekend there was significant communication between Washington and Beijing, Treasury Secretary Scott Becent told FOX Business’ Maria Bartiromo on Monday.

He also said that further discussions and a meeting between Trump and the Chinese leader are expected Xi Jinping In South Korea at the end of the month is still on track.

However, it is unclear how Besant’s optimistic assessment of US-China contacts squares with Beijing’s combative tone in its latest statement.

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“We have significantly de-escalated the situation,” Besant said during an interview on the “Morning with Maria” program.

“A 100% tariff does not need to happen,” he said, adding that the Trump administration would not move on implementing it until November 1.

He added, “The relationship is good despite this announcement last week. Lines of communication have been reopened, so we will see where it goes.”