Trump's Trade Claims Clash with China's Denials: The Ongoing Tariff Tension

President Trump has claimed to be in talks with China over tariffs, a statement strongly denied by Chinese officials who assert that no negotiations are currently taking place. This disparity raises concerns in financial markets already affected by the ongoing trade war.

President Trump has once again stirred the pot on U.S.-China trade relations, stating this past Friday that he has been in discussions with Chinese President Xi Jinping regarding tariffs. His comments seem strategically aimed at calming the increasingly anxious financial markets, which have been reacting negatively to the persistent trade war between the two countries. However, Chinese officials swiftly countered Trump's assertions, maintaining that no such talks are taking place.

In a recent interview with *Time*, Trump claimed that he and Xi have had multiple discussions but was vague about the timing of any specific calls, particularly in relation to the recent tariffs imposed. When pressed for details outside the White House, the president insisted on his prior conversations, casting an air of ongoing dialogue.

Contradicting Trump's narrative, Guo Jiakun, the spokesman for China’s foreign ministry, underscored that the U.S. and China have not engaged in any consultations regarding tariffs. Furthermore, He Yadong from China’s Commerce Ministry reiterated that their current stance is one of non-negotiation and called for the United States to stop issuing threats and instead engage in respectful discussions.

As fears grow over the potential fallout from the tariff disputes, which have already seen the S&P 500 dip by 10 percent since Trump took office, the conflicting statements highlight the tensions at play between the two nations, leaving financial markets in a precarious position.