President Trump said Friday he sees “no reason” to sit down with China’s leader, Xi Jinping, during a planned trip to South Korea and he blamed Beijing for the chill in relations after it moved to limit exports of rare earth materials that U.S. industry needs.
Trump took to Truth Social to say the move by China was a surprise and hinted at a sharp response: “One of the policies that we are calculating at this moment is a massive increase of tariffs on Chinese products coming into the United States of America,” he wrote, adding that other countermeasures are being considered.
This isn’t coming out of the blue. The U.S. and China have been trading barbs and negotiating trade terms for months. Earlier this year, higher import taxes sparked a fresh clash between the world’s two biggest economies, and more recently both sides agreed to roll back some tariffs after talks in Switzerland and the U.K. Still, the rare-earth limits have rattled Washington.
Rare earths – the group of metals and magnets that power everything from computer chips to lasers and advanced electronics -are hard to mine and refine. China is a major source, so any export curbs can quickly ripple through global supply chains. Trump called the move “hostile,” saying it risks holding much of the world “captive” because these materials are so central to modern tech.
On Truth Social he was blunt: “I have not spoken to President Xi because there was no reason to do so. This was a real surprise, not only to me, but to all the Leaders of the Free World.” In short, he signaled that diplomacy isn’t off the table – but that economic pressure, including steep tariffs, is on the table.
What happens next could matter for consumers and manufacturers alike. Bigger tariffs would make Chinese imports more expensive. Steps to shore up U.S. supply chains or to seek rare earth alternatives could take time and money. For now, the headline is clear: a diplomatic meeting looks less likely, and trade tensions with China are back in the spotlight.