Higher rates, however, strengthen the dollar against the world's currencies, which makes the United States a more expensive - and potentially less attractive - place to invest.
Mr Trump argued that higher rates put the United States at a disadvantage and impede faster growth.
Around $505 billion of Chinese goods were imported to the U.S.in 2017, leading to a trade deficit of almost $376 billion, US government data shows. The United States then disputed the retaliatory tariffs at the World Trade Organization on Monday, along with those the European Union, Canada, Mexico and Turkey imposed in response to new USA duties on steel and aluminum.
USA stock index futures, already down on trade worries, fell further after the interview.
Auto tariffs would escalate global trade tension dramatically: The U.S. last year imported $192 billion in vehicles and $143 billion in auto parts - figures that dwarf last year's $29 billion in steel and $23 billion in aluminum imports.
"But I don't like all of this work that goes into doing what we're doing", Trump said, arguing that the Fed's hikes could disrupt economic growth.More news: Putin says US-Russia summit was successful
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Washington also is now targeting another $200 billion in imports which see fresh tariffs imposed as soon as September.
On Friday morning, Trump for a second day criticized the Federal Reserve, breaking with a long-standing tradition at the White House of avoiding any influence, real or perceived, on the independence of the USA central bank.
Trump also showed displeasure about the Fed´s monetary tightening, saying that he was anxious about its potential impact on the US economy and American competitiveness.
Trump noted in the interview that he does not approve, but he "put a very good man in" at the Fed, referring to Powell.
The chance inflation might accelerate has increased after the massive tax cut Trump championed a year ago, which has raised the U.S. debt and budget deficit. In a tweet Friday morning, the president added that "tightening now hurts all that we have done". "Debt coming due & we are raising rates - Really?" he tweeted.
The Fed has raised interest rates twice already this year.
In the full CNBC interview, Trump reiterated his claim that the United States is "being taken advantage of" on issues including trade policy. Low interest rates reduce the costs of borrowing money and fuel economic expansion, but risk spurring rampant inflation and financial market bubbles.