China warned the Trump administration on Tuesday against reigniting trade tensions by reinstating tariffs on Chinese goods next month and threatened retaliation against countries that align with the U.S. to exclude China from supply chains.
While a trade framework agreed in June had paused hostilities, uncertainty remains over whether it will hold.
On Monday, President Trump began notifying trade partners of sharply higher U.S. tariffs effective August 1, following a temporary delay of April duties to allow deal-making.
China, originally targeted with tariffs exceeding 100%, has until August 12 to reach an agreement to avoid further restrictions. “One conclusion is abundantly clear: dialogue and cooperation are the only correct path,” said the People’s Daily, highlighting the need for ongoing negotiations amid unresolved issues.
Markets remain on edge as both sides weigh next steps in the fragile truce.
