US President Donald Trump intensified his “America First” policy by announcing a sweeping 100% tariff on all Chinese imports and unveiling new restrictions on critical software exports.
The move, set to take effect on November 1, marks a sharp escalation in the US–China trade war and could send shockwaves through global markets, economists warned.
Trump said the decision followed Beijing’s new export limits on rare earth minerals, which he called a “hostile act.” He also hinted at canceling his upcoming meeting with Chinese President Xi Jinping at the APEC summit, accusing China of taking an “aggressive” trade stance. Currently, most Chinese goods entering the US already face heavy duties—up to 50% on metals and around 7.5% on many consumer items.
Trump’s statement on social media accused China of issuing a “hostile letter to the world,” prompting his decision to double down with tariffs and software export bans.
Meanwhile, China’s Commerce Ministry confirmed that foreign companies will need special licenses to export any goods containing even trace amounts of Chinese rare earths.
Analysts warned the tit-for-tat measures could trigger the most explosive trade clash of the century, disrupting global supply chains and deepening the economic rift between the world’s two largest economies.
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