Story perspectives

China's Rare Earths Export Controls Spark Trump’s Tariff Threats

10/13/2025

Summary

Story summary

China announced new export controls on rare earths, leading to President Donald Trump threatening 100 percent tariffs on Chinese goods.
This shift ends a period of calm during which President Donald Trump praised his relationship with President Xi Jinping.
Analysts say both sides miscalculated, with China believing it could respond aggressively without severe repercussions.
The Supreme Court's decision on Trump's tariff powers could complicate negotiations and affect military communication and technology governance.

History

Historical Context

China's dominance in rare earth elements, which began in the 1990s when it declared these resources strategic, escalated tensions with the U.S. during the trade war initiated by President Trump in 2018. By 2019, the U.S. relied on China for about 80% of its rare earth imports, leading to Trump's threats of tariffs in response to China's export controls, highlighting the complexities of U.S.-China relations.

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Story summary

China announced new export controls on rare earths, leading to President Donald Trump threatening 100 percent tariffs on Chinese goods.
This shift ends a period of calm during which President Donald Trump praised his relationship with President Xi Jinping.
Analysts say both sides miscalculated, with China believing it could respond aggressively without severe repercussions.
The Supreme Court's decision on Trump's tariff powers could complicate negotiations and affect military communication and technology governance.

1 / 2