The Digest:
US President Donald Trump has dramatically escalated the trade war with China, announcing a fresh 100% tariff on Chinese goods set to begin on November 1. The move follows China's "extraordinarily aggressive" decision to impose export controls on rare earth minerals, vital to the global electronics and defense industries.
Key Points:
- The new 100% levy is in addition to the 30% tariffs already in effect.
- China restricted rare earth exports to safeguard its national security and interests.
- Rare earths are critical for manufacturing clean energy technology and defense products.
- Trump described China's export controls as a "moral disgrace" in international trade.
- The US will also impose its own export controls on all critical software.
- Electronics, a top Chinese export, were previously subject to an exemption from high tariffs.
- Trump stated he no longer sees a reason to meet with President Xi Jinping.
