CCP Responds to Trump’s New 100 Percent Tariffs

CCP Responds to Trump’s New 100 Percent Tariffs

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The Chinese communist regime has indicated it will continue its aggressive trade tactics with the United States following President Donald Trump’s threat of new tariffs in response to Beijing’s export restrictions.

The Chinese regime’s Ministry of Commerce said in a statement on Oct. 12 that its recent export controls on rare earth materials and related products are part of an effort to “refine its export control system” in line with the regime’s laws and regulations. China holds a monopoly on rare earth minerals, particularly on the processing and refining side.

On Oct. 9, the regime blacklisted nearly a dozen defense companies operating in the United States and rolled out extensive restrictions on the export of rare earths and other materials critical to semiconductor manufacturing and military equipment. On Oct. 10, the Chinese regime introduced new port fees on American ships and opened an antitrust investigation into U.S. chipmaker Qualcomm.
In response, Trump said on Oct. 10 that the United States will impose an extra 100 percent tariff on China as well as additional export controls on critical software. He added that these new trade measures will be imposed on Nov. 1, but could be enforced “sooner, depending on any further actions or changes taken by China.”

The regime’s commerce ministry defended its new restrictions on rare earths, which are built upon the April restrictions that have already disrupted global supply chains and forced some foreign companies to halt production.

Twelve of 17 rare earth elements are now on China’s export control list. Certain equipment and technology used to make rare earths—including mining, smelting and separation, magnet material manufacturing, and recycling of secondary resources—are also subject to the export licensing requirements.

Under the new regulation, applications for rare earth export licenses from foreign defense companies will be rejected “in principle,” while those from overseas chipmakers will be evaluated on a case-by-case basis.

The updated rules also require companies operating outside China to obtain an export license when shipping products containing more than 0.1 percent of rare earths sourced from China, beginning Dec. 1.

The restrictions intensified concerns in Brussels. On Oct. 10, the EU’s ambassador to China, Jorge Toledo, said that China’s retaliatory measures are hitting the bloc as “collateral damage.”
“The best example of that is the export control measures of the Chinese government on rare earths that are hitting and hurting our companies, which have been even worsened today,” Toledo told a conference hosted by the Clingendael Institute.
Trump, in a Truth Social post on Oct. 10, said that the United States had been contacted by “other countries who are extremely angry at this great trade hostility” by China.

“I have always felt that they’ve been lying in wait, and now, as usual, I have been proven right!” he wrote.

“There is no way that China should be allowed to hold the World ‘captive,’ but that seems to have been their plan for quite some time, starting with the ‘Magnets’ and, other Elements that they have quietly amassed into somewhat of a Monopoly position, a rather sinister and hostile move, to say the least.”

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