China has pledged to respond forcefully if President Donald Trump follows through on his threat to impose tariffs of 100% on all Chinese goods.
“If the United States insists on its own way, China will resolutely take retaliatory measures to safeguard its legitimate rights and interests,” Foreign Ministry spokesperson Lin Jian said Monday.
Sharp Drop in U.S.-Bound Exports
New customs data revealed that China’s exports to the U.S. fell 27% in September compared to last year, totaling $34 billion. Despite the drop, overall Chinese exports rose 8%, boosted by shipments to hubs like Vietnam. Officials in Beijing criticized U.S. trade actions, accusing Washington of “abusing tariffs” and undermining global trade rules.
Trade Tensions Reignite Over Raw Materials
The renewed clash comes after China expanded export restrictions on rare earth minerals critical for semiconductors and defense technologies. In response, Trump announced that new tariffs would take effect on November 1—or sooner—depending on Beijing’s actions. The U.S. has also tightened its own export controls on advanced chips and related technology, a move China called a “double standard.”
Rare Earth Controls Add Pressure
China, which processes about 90% of the world’s rare earths, now requires foreign companies to obtain licenses for products containing even small amounts of these materials. It has also increased oversight on the export of mining and smelting technologies. These restrictions could have sweeping implications for industries ranging from electronics to defense.
Diplomatic Stakes Ahead of Xi-Trump Meeting
Trump has threatened to cancel a planned meeting with Chinese leader Xi Jinping at the Asia-Pacific Economic Cooperation forum if tensions escalate further. While he appeared to soften his tone over the weekend, analysts warn both sides may hold firm.
Chinese negotiators are reportedly seeking a broader reset of trade relations, including the removal of tariffs and export controls. Some analysts believe Beijing may be prepared to withstand U.S. tariffs longer than Washington can tolerate China’s rare earth measures, raising the stakes for the next phase of negotiations.
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