Trump says ‘no reason’ to meet China’s Xi, threatens massive tariff hike
US President Donald Trump said Friday he sees “no reason” to meet Chinese President Xi Jinping, threatening a “massive increase” of tariffs on Chinese goods in response to Beijing’s new export controls on rare-earth minerals.
“I was to meet President Xi in two weeks, at APEC, in South Korea, but now there seems to be no reason to do so,” Trump posted on social media.
He added that the United States is weighing “many other countermeasures” to China’s “hostile” trade steps.
The remarks cast fresh uncertainty over Trump’s planned Asia trip and the Asia-Pacific Economic Cooperation (APEC) summit later this month, where a bilateral meeting with Xi had been expected.
They also threaten to derail ongoing talks on Chinese purchases of US soybeans, a key issue for American farmers already strained by trade disruptions.
Following Trump’s comments, US stocks pared gains and soybean futures extended losses, reflecting renewed anxiety over a potential escalation in trade hostilities between the world’s two largest economies.
China tightens export curbs on rare earths
The latest flare-up follows a string of tit-for-tat measures between Washington and Beijing targeting strategic sectors.
China this week announced new licensing requirements for exporters of products containing even trace amounts of rare earth elements, citing national security concerns, according to the Ministry of Commerce.
The rules also cover equipment and technology used in processing rare earths and manufacturing magnets — critical inputs for electronics, vehicles, and defence systems.
In parallel, Chinese authorities have imposed new port fees on US vessels and launched an antitrust probe into Qualcomm Inc., adding to a widening list of restrictions that threaten to disrupt global supply chains.
Trump, in his extended post, described China’s actions as “very hostile,” accusing Beijing of trying to “hold the world captive” by monopolising access to key materials.
“There is no way that China should be allowed to hold the world captive,” he wrote, vowing to retaliate economically.
The Chinese letters were especially inappropriate in that this was the Day that, after three thousand years of bedlam and fighting, there is PEACE IN THE MIDDLE EAST. I wonder if that timing was coincidental?
Rising trade frictions before APEC
The escalation comes just weeks before the APEC summit, which was expected to serve as a platform for resetting US-China trade relations after a period of relative calm.
Instead, Trump’s remarks signal a return to confrontation, potentially reviving the tariff battles that roiled global markets during the first half of the year.
“Ultimately, though potentially painful, it will be a very good thing, in the end, for the U.S.A.,” Trump said in his post.
For now, markets and policymakers are bracing for a renewed phase of uncertainty — one that could spill into commodities, manufacturing, and technology supply chains if either side follows through on their latest threats.
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Trump says ‘no reason’ to meet China’s Xi, threatens massive tariff hike
US President Donald Trump said Friday he sees “no reason” to meet Chinese President Xi Jinping, threatening a “massive increase” of tariffs on Chinese goods in response to Beijing’s new export controls on rare-earth minerals.
“I was to meet President Xi in two weeks, at APEC, in South Korea, but now there seems to be no reason to do so,” Trump posted on social media.
He added that the United States is weighing “many other countermeasures” to China’s “hostile” trade steps.
The remarks cast fresh uncertainty over Trump’s planned Asia trip and the Asia-Pacific Economic Cooperation (APEC) summit later this month, where a bilateral meeting with Xi had been expected.
They also threaten to derail ongoing talks on Chinese purchases of US soybeans, a key issue for American farmers already strained by trade disruptions.
Following Trump’s comments, US stocks pared gains and soybean futures extended losses, reflecting renewed anxiety over a potential escalation in trade hostilities between the world’s two largest economies.
China tightens export curbs on rare earths
The latest flare-up follows a string of tit-for-tat measures between Washington and Beijing targeting strategic sectors.
China this week announced new licensing requirements for exporters of products containing even trace amounts of rare earth elements, citing national security concerns, according to the Ministry of Commerce.
The rules also cover equipment and technology used in processing rare earths and manufacturing magnets — critical inputs for electronics, vehicles, and defence systems.
In parallel, Chinese authorities have imposed new port fees on US vessels and launched an antitrust probe into Qualcomm Inc., adding to a widening list of restrictions that threaten to disrupt global supply chains.
Trump, in his extended post, described China’s actions as “very hostile,” accusing Beijing of trying to “hold the world captive” by monopolising access to key materials.
“There is no way that China should be allowed to hold the world captive,” he wrote, vowing to retaliate economically.
The Chinese letters were especially inappropriate in that this was the Day that, after three thousand years of bedlam and fighting, there is PEACE IN THE MIDDLE EAST. I wonder if that timing was coincidental?
Rising trade frictions before APEC
The escalation comes just weeks before the APEC summit, which was expected to serve as a platform for resetting US-China trade relations after a period of relative calm.
Instead, Trump’s remarks signal a return to confrontation, potentially reviving the tariff battles that roiled global markets during the first half of the year.
“Ultimately, though potentially painful, it will be a very good thing, in the end, for the U.S.A.,” Trump said in his post.
For now, markets and policymakers are bracing for a renewed phase of uncertainty — one that could spill into commodities, manufacturing, and technology supply chains if either side follows through on their latest threats.
The post Trump says 'no reason' to meet China's Xi, threatens massive tariff hike appeared first on Invezz
Read More
US digest: markets slide after fresh Trump tariff threat, consumer sentiment slide