President Donald Trump and China’s President Xi Jinping. Photo: Nicolas Asfouri/AFP/Getty Images

A delegation from China is set to arrive in Washington this week for trade talks despite President Trump's new threat to increase tariffs on $200 billion of Chinese imports from 10% to 25% on Friday, CNBC reports.

The big picture: A source with knowledge of the situation told Axios' Jonathan Swan that the Chinese had been backing off of agreements the U.S. negotiating team believed they had already made, injecting heightened uncertainty into what was supposed to be the last stretch of trade talks. Sources with knowledge of the talks told CNBC that it’s unclear whether Vice Premier Liu He, a crucial figure in the trade talks, would lead the group, which will likely be smaller than originally planned.

Go deeper: Trump ratchets up U.S.-China trade war with new tariff threat

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