Trump strongly denounced Xi Jinping's regime for breaching the trade agreement.

The President of the United States, Donald Trump, claimed on Friday that China has "completely violated" a preliminary trade agreement recently reached, and suggested that he would take action in response.

In a post on his social network Truth Social, Trump expressed his frustration with China's failure to comply with the pact that temporarily suspended reciprocal tariffs between both countries, and stated: "So much for being Mr. NICE!"

The agreement, sealed on May 12 in Geneva, provided for a 90-day suspension of tariff imposition between both nations, including measures on critical minerals essential for the U.S. technology and defense industries.

Trump stated that he had made a "quick deal" with China to spare it a severe economic crisis caused by his tariffs of up to 145% on Chinese imports, which, according to him, had led to factory closures and civil unrest in China.

The Trade Representative, Jamieson Greer, stated in an interview with CNBC that China was deliberately delaying the issuance of export licenses for rare minerals, which is completely unacceptable.

Those materials are essential for the production of semiconductors, electronic components, and defense systems. This delay has alarmed executives in the global automotive sector, who warned that a critical shortage of rare earth magnets could occur, affecting vehicle production within weeks.

Meanwhile, the Treasury Secretary, Scott Bessent, stated on Fox News that trade negotiations with China were "somewhat stalled" and would likely require the direct intervention of Trump and Chinese President Xi Jinping to move forward. Trump also indicated that he expects to speak with Xi soon to try to solve the issue.

China, through the spokesperson of its embassy in Washington, Liu Pengyu, replied that it has maintained communication with the United States since the talks in Geneva, but has also expressed its concern about the export controls that the United States has imposed on sensitive products such as design software, chemicals for semiconductors, and aeronautical equipment.

Beijing urged Washington to stop what it mistakenly considers "discriminatory actions" and to respect the consensus reached.

A U.S. administration source explained that the Geneva agreement focused exclusively on tariffs and Chinese trade measures, and that U.S. export controls were not part of the deal.

The conflict caused uncertainty in financial markets. Although the main stock indices closed without major changes, stock futures initially fell.

The May agreement had provided temporary relief in the markets, reducing average tariffs to levels around 15% (from 25% in April). Still, it did not address broader structural issues, such as China's state-driven, export-oriented economic model, one of the main complaints of the United States.