The Chinese Ministry of Commerce issued a statement on Monday refuting Trump's claim that Beijing violated the agreement reached in Geneva last month. The altercation threatened to drastically affect trade relations, even as Trump expressed hope on Friday to speak with Chinese President Xi. White House economic advisor Kevin Hassett expects the meeting to take place this week.

Beijing accused the United States of unilaterally imposing new discriminatory restrictions, including new guidelines on the export control of AI chips, restrictions on the sale of chip design software to China, and the revocation of visas for Chinese students.

"If the United States insists on having its way and continues to harm China's interests, China will continue to take firm and vigorous measures to safeguard its legitimate rights and interests," the ministry stated. It also claimed that the United States violated the consensus reached between Trump and Xi on January 17, their last dialogue, without going into details.

Tensions between the world's largest economies are escalating following the tariff détente in May. The Trump administration announced last week that it would begin revoking visas for Chinese students, while seeking to restrict the sale of chip design software to China. It also banned the export of essential U.S. parts and technology for jet engines to China, according to the New York Times.