President Donald Trump stated Friday that he’ll impose an extra 100% tariff on China and restrict U.S. exports of software program, escalating the commerce struggle after months of it showing to ease towards a decision.
The most recent salvo got here after China restricted its exports of uncommon earths, that are essential minerals used throughout industries, from the tech sector to automakers and protection contractors.
Late within the afternoon, Trump took to Truth Social to decry Beijing’s “giant scale Export Controls on just about each product they make.”
“Based mostly on the truth that China has taken this unprecedented place, and talking just for the united statesA., and never different Nations who had been equally threatened, beginning November 1st, 2025 (or sooner, relying on any additional actions or adjustments taken by China), the US of America will impose a Tariff of 100% on China, over and above any Tariff that they’re at the moment paying,” he added. “Additionally on November 1st, we’ll impose Export Controls on any and all essential software program.”
That may carry U.S. tariffs on China to 130%, nearing the 145% charge Trump imposed in April on “Liberation Day” and the quick aftermath—earlier than the U.S. agreed to place its highest levies on maintain whereas China paused its retaliatory duties as negotiations unfolded.
China has a stranglehold on uncommon earths, producing greater than 90% of the world’s processed uncommon earths and uncommon earth magnets. That has served as a key supply of leverage over the U.S.
In the meantime, grain costs fell after Trump urged earlier on Friday that he wouldn’t meet Chinese language President Xi Jinping later this month at an financial summit in South Korea.
That dashed hopes that the 2 leaders might attain a commerce deal that features Chinese language purchases of U.S. soybeans, which traditionally have been a prime export however have failed to attract any orders from China this harvest season.
Earlier than the flare-up, U.S.-China commerce talks had been progressing after Trump reached offers with the European Union, Japan, South Korea and different prime buying and selling companions.
However tensions remained, together with on the difficulty of uncommon earths whereas the U.S. had moved to limit different nations’ exports of semiconductor-related merchandise to China.
On Thursday, China’s commerce ministry stated that beginning on Dec. 1 a license will likely be required for overseas corporations to export merchandise with greater than 0.1% of uncommon earths from China or which might be made with Chinese language manufacturing expertise.
“Our relationship with China over the previous six months has been an excellent one, thereby making this transfer on Commerce an much more stunning one,” Trump stated in an earlier Truth Social post. “I’ve at all times felt that they’ve been mendacity in wait, and now, as typical, I’ve been confirmed proper!”
