Trump tariffs live updates: US won't drop China tariffs without something 'substantial'

President Donald Trump on Tuesday afternoon said he has "no intention" of firing Federal Reserve Chairman Jerome Powell, but he reiterated he wants the central bank to lower interest rates.

"The press runs away with things. No, I have no intention of firing him," Trump said as he took reporter questions in the Oval Office. "I would like to see him be a little more active in terms of his idea to lower interest rates. ... If he doesn't, is it the end? No, it's not. But it would be good timing."

The comments come after Trump posted on social media last week that Powell's "termination cannot come fast enough!" Since then, he's repeatedly criticized Powell as "slow" to act. The comments caused some market turmoil. White House press secretary Karoline Leavitt defended Trump's attacks of Powell, saying earlier Tuesday he had the "right" to express his displeasure with the Fed chief.

ABC News's Mary Bruce asked Trump if he agreed with Treasury Secretary Scott Bessent who suggested that the current standoff over tariffs with China is not sustainable.

Trump brushed off the concerns and said he's not going to play hardball with China.

"No, we're going to be very nice. They're going to be very nice, and we'll see what happens," he said.

"But ultimately they have to make a deal because otherwise they're not going to be able to deal in the United States."

White House press secretary Karoline Leavitt on Tuesday alluded to some progress being made in the trade war with China.

"[The president] wanted me to share with all of you that we're doing very well in respect to a potential trade deal with China," she said at her briefing.

"And the president and the administration are setting the stage for a deal with China. So we feel everyone involved wants to see a trade deal happen. And the ball is moving in the right direction," she said.

ABC News Chief White House Correspondent Mary Bruce pressed Leavitt on what that means, but Leavitt refused to say if Trump has talked directly with Chinese President Xi Jinping.

"I don't have anything to read out on a direct talk between the president and President XI, but we will continue to keep you updated," Leavitt responded.

ABC's Bruce asked Leavitt about reports that Treasury Secretary Scott Bessent told investors he expects the standoff with China to deescalate and what steps the president is considering taking -- but again Leavitt would not elaborate further.

When asked if President Donald Trump still believes in the independence of the Federal Reserve, White House press secretary Karoline Leavitt said Trump is allowed to be displeased with Chairman Jerome Powell and echoed his desire for lower interest rates.

"The president believes that they have been making moves and taking action in the name of politics, rather in the name of what's right for the American economy," Leavitt said of Trump's view on Powell.

"The president has the right to express his displeasure with the Fed and he has the right to say he believes interest rates should be lower. He believes Americans should be able to borrow money cheaper than they currently are right now," she continued.

-ABC News' Kelsey Walsh