China says US 'lied' about impact of tariffs

"The US side has lied more than once or twice. Each time, China has promptly exposed it, but the US seems to be very persistent, even obsessed, and keeps repeating those lies," Chinese Foreign Ministry spokesman Geng Shuang said at a press conference today.

Geng's comments came after US President Donald Trump told reporters on May 30 that China was being weakened by new US tariffs. "Tariffs are having a devastating effect on China. People are leaving China and their companies. I can confirm that China wants to make a deal very much. China is becoming a very weak country," Trump said.

Trump earlier this month announced a tax increase from 10% to 25% on $200 billion worth of Chinese goods because he believed Beijing had changed its commitments in the previously agreed upon agreement between the two sides, and threatened to increase taxes on about $300 billion worth of remaining Chinese goods.

China retaliated by raising tariffs on $60 billion worth of US goods from June 1. "I want to warn the US side not to overestimate its own ability to create rumors, nor to underestimate the other side's ability to assess the situation. Real momentum does not come from repeated lies and sophistry, or some self-made illusions," Mr. Geng said.

US-China trade tensions have been escalating since talks between the two sides broke down. The US could announce new tariffs on China at the same time as the meeting between Trump and Chinese President Xi Jinping on the sidelines of the G20 Summit in Japan on June 28 and 29.