The offshore yuan fell to around 7.21 per dollar on Monday, marking its second straight session of losses as trade tensions resurfaced. President Trump announced Friday that the US will double tariffs on steel imports to 50% starting June 4, framing it as a step to reduce reliance on China. Trade tensions also flared after China accused the US of “seriously violating” the May trade truce, pledging “strong and resolute measures” to defend its interest. The dispute reignited after Trump accused China of breaching last month’s Geneva agreement. However, Trump’s adviser Kevin Hassett said a talk with President Xi could happen “as soon as this week,” but no timeline is confirmed. Meanwhile, latest Chinese PMI data showed signs of stabilization but the recovery remained fragile amid weak domestic demand and ongoing trade tensions. Official figures showed manufacturing rose to 49.5 from 49.0 and the composite index edged up slightly to 50.4, while services slipped to a four-month low of 50.3.