US President Donald Trump on Friday announced a 100 percent tariff on all Chinese goods and strict export controls on US-made critical software following China’s export restrictions on rare earth minerals. Trump also threatened to cancel his upcoming summit with President Xi Jinping.
In a post on Truth Social, Trump accused Beijing of taking an “extraordinarily aggressive” position on trade and warned that the United States would respond in kind.
“Starting November 1, 2025, or sooner, depending on any further actions or changes taken by China, the United States of America will impose a tariff of 100% on China, over and above any tariff that they are currently paying,” Trump announced.
Trump wrote, “It has just been learned that China has taken an extraordinarily aggressive position on trade in sending an extremely hostile letter to the world, stating that they were going to, effective November 1, 2025, impose large-scale export controls on virtually every product they make, and some not even made by them. This affects all countries, without exception, and was obviously a plan devised by them years ago.”
Further, the president wrote, “It is absolutely unheard of in international trade and a moral disgrace in dealing with other nations. Based on the fact that China has taken this unprecedented position, and speaking only for the USA, and not other nations who were similarly threatened, starting November 1, 2025 (or sooner, depending on any further actions or changes taken by China), the United States of America will impose a tariff of 100% on China, over and above any tariff that they are currently paying. Also, on November 1, we will impose export controls on any and all critical software.”
Trump’s announcement on Friday came after China, which dominates the global market for rare earth elements critical to tech manufacturing, dramatically expanded its export controls.
Trump also said, "there was no reason to hold the meeting with Xi that he had previously announced. Beijing has not yet confirmed the meeting between the two leaders."
However, stock markets fell as the simmering trade war between the United States and China reignited, with the Nasdaq down 3.6 percent and the S&P 500 down 2.7 percent.
