United States President, Donald Trump, announced on Friday that he would impose a 100% tariff on China, intensifying his trade war with Beijing amid growing tensions over rare earth export controls.
In a post on Truth Social, Trump revealed that the new tariffs would take effect November 1, describing them as being “over and above any Tariff they are currently paying.”
He explained that the move was in response to what he called China’s “extraordinarily aggressive” stance on trade after Beijing issued what he described as an “extremely hostile letter to the World.”
According to Trump, the letter stated that China would impose large-scale export controls on nearly all products it produces and even on some it does not, starting November 1, 2025.
“This affects ALL Countries, without exception, and was obviously a plan devised by them years ago,” he wrote. “It is absolutely unheard of in International Trade, and a moral disgrace in dealing with other Nations.”
Trump said the tariffs could take effect earlier than planned, “depending on any further actions or changes taken by China.”
Earlier on Friday, Trump had lashed out at Chinese President Xi Jinping over China’s move to tighten export controls on rare earths, key materials used in semiconductors and defense production, suggesting he might no longer meet Xi during a scheduled regional visit later this month.
“Dependent on what China says about the hostile ‘order’ that they have just put out, I will be forced, as President of the United States of America, to financially counter their move,” Trump warned.
“For every Element that they have been able to monopolize, we have two,” he added.
Beijing on Thursday broadened its restrictions on rare earth exports, extending controls to include production technologies and overseas applications.
The decision immediately set off alarm bells in Washington, as the materials are critical to US national security and technology supply chains.
Officials said China’s action appeared designed to give it leverage ahead of the APEC summit in South Korea, where Xi and Trump were expected to meet. However, after Trump’s social media posts, the meeting’s status became uncertain.
“I have not spoken to President Xi because there was no reason to do so,” Trump wrote. “This was a real surprise, not only to me, but to all the Leaders of the Free World. I was to meet President Xi in two weeks, at APEC, in South Korea, but now there seems to be no reason to do so.”
When asked later whether the meeting was officially canceled, Trump clarified, “I haven’t canceled, but I don’t know that we’re going to have it. But I’m going to be there regardless, so I would assume we might have it.”
White House officials viewed China’s latest move as a major escalation, though some insiders admitted that recent US actions, such as expanding the Commerce Department’s export blacklist, may have provoked Beijing’s response.
Sources confirmed that China had invited Trump to visit Beijing during his Asia trip, but Washington declined, preferring a side meeting at the economic summit instead.
Trump also criticized the timing of China’s announcement, accusing Beijing of trying to overshadow a breakthrough in the Middle East peace process.
“The Chinese letters were especially inappropriate in that this was the Day that, after three thousand years of bedlam and fighting, there is PEACE IN THE MIDDLE EAST,” he wrote. “I wonder if that timing was coincidental?”
A race for critical resources
Trump’s remarks highlight mounting concern in Washington about China’s dominance in the rare earths market — a sector vital for defense, electronics, and clean energy industries.
Administration officials have been holding urgent meetings with mining and tech executives, pushing for accelerated domestic production.
Recent measures include a $400 million equity investment in MP Materials Corp, the only US-based rare earth producer, along with a government-backed price floor to sustain operations.
Yet, US officials acknowledge that rebuilding supply chains will take years, leaving the nation exposed in the near term to China’s influence over the market.
Market turmoil over tariff fears
Wall Street reacted sharply to Trump’s announcement. The Dow Jones tumbled 879 points (1.9%), the S&P 500 dropped 2.71%, and the Nasdaq Composite fell 3.56% amid fears of a renewed trade war.
Analysts recalled that similar tariff battles earlier in the year drove US-China import taxes as high as 145%, nearly plunging markets into a bear phase before both sides eased restrictions in May.
Until now, tariffs on China had remained relatively moderate, keeping investor fears in check. But Trump’s latest threat has reignited concerns of “Liberation Day” market chaos, especially with the holiday shopping season approaching and the US tech sector heavily reliant on Chinese components.
In recent months, both nations have tightened export controls on key materials like AI chips and rare earths, imposed port fees, and restricted major company operations. A senior US official confirmed that “those options and more, are now back on the table” following Trump’s latest warning.
