WASHINGTON – U.S. President Donald Trump has threatened to impose a 100% tariff on all imports from China starting next month, in a move that risks reigniting a full-blown trade war between Washington and Beijing.
In a post on social media late Friday, Trump also said the U.S. would place new export controls on critical software, accusing China of “becoming very hostile” and trying to hold the world “captive” through its dominance in rare earth minerals.
His warning followed Beijing’s decision this week to tighten export rules for rare earths — key components in electric vehicles, smartphones, and weapons systems — and to open a monopoly probe into U.S. chipmaker Qualcomm. China also announced new port fees targeting vessels linked to American firms.
“Some very strange things are happening in China!” Trump wrote. “They are becoming very hostile.”
“It is impossible to believe that China would have taken such an action, but they have, and the rest is History. Thank you for your attention to this matter!” – President Donald J. Trump
Markets React and Talks in Doubt
The remarks rattled global financial markets, with the S&P 500 sliding 2.7%, its steepest drop since April, as investors feared a return to tariff wars that previously disrupted global supply chains.
Trump further hinted that his planned meeting with Chinese President Xi Jinping could be scrapped, saying he was “not sure that we’re going to have it,” though he added: “I’m going to be there regardless.”
The two leaders were expected to meet later this month at a summit in South Korea to discuss trade, technology, and security issues — part of ongoing efforts to stabilize relations after both countries eased earlier tariffs in May.
Analysts See Strategic Posturing
Experts say the latest escalation reflects both sides testing leverage ahead of renewed negotiations.
“Xi’s recent rare earth directive is an attempt to seize the initiative,” said Jonathan Czin, a fellow at the Brookings Institution. “The Trump administration is playing a game of whack-a-mole and reacting as issues arise.”
Gracelin Baskaran, director of the Critical Minerals Security Program at the Center for Strategic and International Studies, warned that China’s move directly targets U.S. defence manufacturers.
“Nothing makes America move like targeting our defence industry,” she said. “The U.S. will have to negotiate because options are limited — and in a period of rising geopolitical tension, Washington needs to shore up its industrial base.”
While a Trump–Xi meeting now appears uncertain, Baskaran said dialogue remains possible before China’s export rules take effect in December.
“Negotiations are likely imminent,” she added. “Who does them and where they happen will be determined with time.”
