Donald Trump says reaching a trade deal with China’s Xi Jinping is “extremely hard,” as tensions escalate over tariffs and global markets react to US protectionist moves.
In a fresh blow to global economic diplomacy, Donald Trump has declared it “extremely hard” to make a trade deal with Chinese President Xi Jinping. The remark comes as tensions rise over the U.S. president’s renewed push for higher tariffs on both allies and rivals.
As tariff hikes send shockwaves through global markets, Trump’s comments underscore the deep divide between Washington and Beijing, even as negotiations attempt to de-escalate the trade war between the world’s two largest economies.
Xi ‘Very Tough,’ Says Trump
Trump took to Truth Social early Wednesday to voice his frustration with the Chinese leader.
“I like President Xi of China, always have, and always will, but he is VERY TOUGH, AND EXTREMELY HARD TO MAKE A DEAL WITH!!!“
The comment, laden with all-caps emphasis, comes amid speculation that Trump and Xi may speak this week in a high-level attempt to revive stalled trade talks.
However, the tone of the post suggests a grim outlook for progress, just as tariffs on key Chinese goods reach 145%, with Beijing retaliating at 125% on American exports.
OECD Talks Overshadowed by Tariff Battles
The statement came as OECD ministers convened in Paris, where 38 countries gathered to discuss the fragile state of the world economy. Instead of unity, the event was dominated by concern over America’s aggressive trade tactics.
Trump has doubled tariffs on steel and aluminium to 50% this week, further souring diplomatic ties. While Britain was exempted, the European Union now faces steep penalties on its exports if no resolution is reached before the July 9 deadline.
EU Scrambles to Prevent Economic Fallout
European officials are working fast to avoid a full-blown trade conflict. EU Trade Commissioner Maros Sefcovic met with US Trade Representative Jamieson Greer on the sidelines of the OECD meeting.
“We’re advancing in the right direction at pace — and staying in close contact to maintain the momentum,” Sefcovic wrote on X.
Yet, the EU had warned just weeks ago that doubling metal tariffs would jeopardize any negotiated deal, and some fear Trump’s latest moves may unravel months of progress.
China Responds with Calm — and Force
Responding to Trump’s remarks, Chinese Foreign Ministry spokesperson Lin Jian maintained a measured tone.
“China’s principles and stance on developing Sino-US relations are consistent.”
Despite the diplomatic language, Beijing is already retaliating with its own tariff measures, signaling no intention of backing down easily. Analysts warn that if talks collapse again, both economies could spiral into a renewed tit-for-tat trade war.
Global Markets Brace for Impact
The consequences of Trump’s escalating trade policies are being felt across financial markets. Businesses are bracing for higher import costs, supply chain disruptions, and weakened investor confidence.
Economists warn the uncertainty could dampen global growth just as recovery efforts gain traction after years of pandemic-related volatility.
Trump Plays Hardball Ahead of 2024
With the 2024 election campaign heating up, many see Trump’s tactics as a calculated attempt to revive his “America First” platform. The tariffs allow him to position himself as a defender of U.S. industry, especially in swing states reliant on manufacturing.
But the risk is real: trading partners may retaliate, domestic prices may rise, and global cooperation could deteriorate further.
Conclusion: No Deal in Sight
Trump’s message is clear: a trade deal with China won’t come easily. His latest comments—and policies—signal a return to protectionist rhetoric that defined his first term.
Whether the world’s economies can withstand another round of Trump-led trade turmoil remains to be seen. For now, uncertainty rules, and diplomacy is walking a tightrope.
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