Trump Warns of Tariff Hike Amid China's Rare Earth Curbs

US President Donald Trump has reacted strongly to China's recent decision to impose export controls on rare earth elements, describing the move as "hostile" and unprecedented. In a post on Truth Social, Trump stated, "Some very strange things are happening in China! They are becoming very hostile, and sending letters to countries throughout the world, that they want to impose export controls on each and every element of production having to do with rare earths, and virtually anything else they can think of." He expressed concern that this action could disrupt global markets and create difficulties for many nations, particularly China itself.

Trump emphasized that the US also possesses significant resources in critical elements but has not yet utilized them. He remarked, "We have monopoly positions also, much stronger and more far reaching than China’s. I have just not chosen to use them, there was never a reason for me to do so — UNTIL NOW!" He described the letters from China detailing the elements they plan to restrict as extensive and specific.

The timing of China's announcement raised eyebrows for Trump, as it coincided with what he referred to as a day of "peace in the Middle East." He questioned whether this timing was coincidental, stating, "I wonder if that timing was coincidental?"

Following the announcement, Trump indicated that he has not communicated with Chinese President Xi Jinping and sees no reason to meet him at the upcoming Asia-Pacific Economic Cooperation (APEC) summit. He called the situation a "real surprise" and noted that it has altered his plans for the meeting. Trump stated, "One of the policies that we are calculating at this moment is a massive increase of tariffs on Chinese products coming into the United States of America. There are many other countermeasures that are, likewise, under serious consideration."

He concluded his remarks with a note of reassurance, saying, "Ultimately, though potentially painful, it will be a very good thing, in the end, for the U.S.A." This situation continues to develop as the US considers its response to China's actions.