Trump says U.S. will quit World Health Organization, begin to revoke special treatment for Hong Kong as China brawl ramps up

President Donald Trump on Friday said the U.S. is quitting the World Health Organization and is beginning to revoke Hong Kong’s special status, in an escalation of tension with China.

Speaking in the White House Rose Garden, Trump also said the U.S. would move to sanction Chinese officials over what he called the “smothering” of Hong Kong, but the president steered clear of any discussion of reneging on a trade deal between the two countries, or wider sanctions.

U.S. stocks SPX, 0.48% DJIA, -0.07% COMP, 1.29% reversed early losses to post a mixed finish Friday after Trump announced the measures to be taken.

Trump also announced entry into the U.S. for some Chinese nationals would be suspended and said the U.S. would “study” the accounting practices of Chinese companies listed on U.S. exchanges.

Trump’s move came amid simmering tension between Beijing and Washington over China’s management of the coronavirus pandemic, as well as China’s tightening of controls on Hong Kong.

U.S. Secretary of State Mike Pompeo this week declared Hong Kong to be no longer autonomous from China, after the country’s legislature approved a resolution imposing national-security laws.