China Strikes Back as Trump’s 100% Tariff Threat Reignites Trade War - Share Talk

China Strikes Back as Trump’s 100% Tariff Threat Reignites Trade War

Beijing has vowed to retaliate after Donald Trump announced plans to impose sweeping 100% tariffs on Chinese imports within weeks. This move has reignited tensions between the world’s two largest economies.

In a sharply worded statement on Sunday, China’s commerce ministry accused the US president of “severely harming China’s interests” and undermining the atmosphere of trade talks, warning that the country was “not afraid to fight” if provoked.

“The US has continuously introduced a series of new restrictions since the two sides made an initial breakthrough last month,” the ministry said. “We do not want to fight, but we are not afraid to fight.”

The renewed clash follows Mr Trump’s pledge to impose export restrictions on “any and all critical support”, accusing China of holding the world “to ransom” through its control of rare earth minerals — vital components in everything from smartphones to missile systems.

After months of relative calm, the escalation marks a sharp downturn in US-China relations. While Beijing has not yet announced retaliatory tariffs, it has tightened export controls on critical minerals and rare earths, moves that have already infuriated Washington.

China dominates the sector, controlling 70% of global rare earth production and 90% of processing capacity, giving it a powerful lever in any trade confrontation.

Responding to China’s measures, Mr Trump lashed out on Truth Social, calling them “a moral disgrace in dealing with other nations” and claiming they were “a plan devised years ago.”

Beijing countered that its export controls were a direct response to ongoing US hostility — including company blacklists and new shipping fees — and said the restrictions were also motivated by concerns over the minerals’ military applications amid ‘frequent global conflicts.’


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