U.S. President Donald Trump said on Tuesday he believes China may soon open its markets to American goods, reaffirming his confidence in his relationship with Chinese President Xi Jinping despite ongoing tensions between Washington and Beijing.

“I think it’s going to happen,” Trump told reporters when asked if he thought Chinese markets could become more accessible to U.S. exporters. He offered no further details on potential negotiations or agreements.

Trade Tensions and Diplomatic Friction

Relations between the world’s two largest economies have remained tense for years, strained by disputes over trade tariffs, intellectual property rights, human rights issues, and cybersecurity. Washington has also criticised Beijing’s policies towards Taiwan and Hong Kong, as well as its alignment with Russia amid the ongoing war in Ukraine.

Trump’s comments came a day after he threatened to impose a 25% tariff on all countries conducting trade with Iran, a move that risked reviving economic and diplomatic tensions with China, Tehran’s biggest trading partner. Beijing condemned the proposed measure, accusing Washington of unilateralism and economic coercion.

U.S. Weighs Response to Iran Unrest

The tariff threat followed reports of widespread anti-government demonstrations in Iran, where thousands have taken to the streets in the largest protests in years. Trump has been considering options for responding to the unrest. Iran, which fought a 12-day conflict with U.S. ally Israel last year, saw its nuclear facilities targeted by American air strikes in June.

While Trump has not clarified whether his comments on China signal any concrete policy shifts, his assertion of a “good relationship” with Xi suggested an attempt to balance confrontation with cooperation. Observers said the remarks might aim to ease market concerns after weeks of escalating geopolitical tensions.

with inputs from Reuters