The move follows Beijing’s export curbs on rare earth minerals, prompting Washington to impose new restrictions on “any and all critical software” starting November 1.
BY PC Bureau
US President Donald Trump has reignited his long-simmering trade war with China, announcing a sweeping 100 percent tariff on Chinese imports and threatening to cancel an upcoming summit with President Xi Jinping. The escalation comes amid a growing diplomatic rift over Beijing’s newly announced export curbs on rare earth minerals — materials crucial for the global electronics, defense, and renewable energy industries.
In a statement posted on Truth Social, Trump said the new tariffs, along with a ban on the export of “any and all critical software” from the United States, would take effect from November 1. He described the measures as a necessary response to what he called China’s “extraordinarily aggressive” trade and industrial policies that, according to him, jeopardize American national and economic security.
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“It is impossible to believe that China would have taken such an action, but they have — and the rest is history,” Trump wrote. “America will no longer tolerate economic blackmail or manipulation from Beijing.”
The announcement immediately rattled global financial markets. Wall Street recorded sharp declines, with the Nasdaq Composite dropping 3.6 percent and the S&P 500 falling 2.7 percent by closing time. Investors rushed to safe-haven assets as fears grew that a full-blown trade confrontation could disrupt global supply chains, slow manufacturing, and dampen post-pandemic recovery momentum.
Trump’s latest move marks a significant escalation of the economic tensions that defined much of his previous presidency. His administration had earlier imposed tariffs of up to 30 percent on Chinese goods, accusing Beijing of intellectual property theft, currency manipulation, and unfair subsidies to state-run enterprises. The renewed sanctions come just months after Trump returned to office on a promise to “bring manufacturing back home” and “end American dependence on Chinese imports.”
At the heart of the latest standoff is China’s decision to impose export restrictions on rare earth elements — 17 minerals essential for producing smartphones, electric vehicles, military systems, and semiconductors. Washington views the move as an attempt by Beijing to leverage its dominance in the sector for political and economic advantage.
🚨BREAKING: $1.6 TRILLION VANISHED from the stock market today after Trump just dropped the bombshell: 100% tariff on all Chinese imports beginning Nov 1st. 😱 pic.twitter.com/ue4JKsSx6W
— Armando Pantoja (@_TallGuyTycoon) October 11, 2025
The White House said it is “evaluating all options” to safeguard critical supply chains, including boosting domestic mining and forging new trade partnerships with countries like Australia, Canada, and India. A senior administration official said, “President Trump’s message is clear: the United States will not be held hostage by any foreign power that weaponizes trade.”
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China, meanwhile, has yet to issue an official response to Trump’s latest announcement, though state media outlets warned earlier this week that retaliatory measures could be on the table. Analysts expect Beijing to respond cautiously at first but warned that a prolonged tariff standoff could deepen global economic uncertainty.
With the summit between Trump and Xi now in doubt, hopes for a diplomatic thaw appear to be fading fast. What began as a dispute over rare earth exports is rapidly turning into a broader confrontation over technology, trade dominance, and global economic influence — setting the stage for yet another turbulent chapter in US-China relations.
