US President Donald Trump criticized China for imposing new rare earth export controls, accusing them of trying to “hold the World ‘captive.'” He expressed his concerns on Truth Social, labeling China’s actions as “sinister and hostile,” with the potential to create an economic monopoly. Trump hinted at imposing higher tariffs on Chinese goods in response to this move.
According to the President, China has been pressuring countries worldwide to restrict the export of rare earth elements and other related products, even if they are not manufactured in China. These materials are crucial for various products like electric vehicles and military equipment, and China dominates over 90% of the global processed supply.
Trump highlighted the escalating trade tensions with China, describing the situation as “very hostile” and warning that these controls could disrupt global markets. He mentioned receiving complaints from other countries about the sudden trade hostility from China, which he found surprising given the previously positive relationship between the two nations.
In reaction to China’s actions, Trump announced that he sees no reason to meet with Chinese President Xi Jinping anymore. He emphasized that the US would retaliate financially based on China’s decisions, asserting that the US possesses superior resources to counter any monopolistic attempts by China.
Questioning the timing of the announcement, Trump pointed out that it coincided with a day of peace in the Middle East after millennia of conflict. This led him to speculate on whether the timing was deliberate.