Beijing
China has warned the United States that it will not yield to pressure over President Donald Trump’s 100 per cent tariff threat, saying it prefers dialogue but is ready to defend its interests.
The Chinese Commerce Ministry on Sunday said, “We do not want a tariff war, but we are not afraid of one,” urging Washington to resolve disputes through negotiation, not threats.
Trump’s warning came after China introduced new export restrictions on rare earths, essential for electronic and military products. These minerals are crucial for industries producing jet engines, radar systems, electric vehicles, and smartphones. China controls nearly 70 per cent of global mining and 90 per cent of rare earth processing, making access a major point of tension.
The ongoing back-and-forth has raised doubts about a possible meeting between Trump and President Xi Jinping, potentially ending the fragile truce reached earlier this year. Both nations accuse each other of violating that agreement by adding new trade barriers.
China said its new export rules aim to ensure that rare earths are used for legitimate civilian purposes, not military ones. The Commerce Ministry also criticized the US for expanding export controls on Chinese firms and imposing new port fees on Chinese ships, effective Tuesday. In response, China announced similar port fees for American vessels.
Trump accused China of becoming “very hostile” and “holding the world captive” by restricting access to rare earths. Despite tensions, China’s statement emphasized that cooperation and dialogue remain the best path forward for both sides.
