Trump warns China to “tie itself up,” threatens to raise tariffs heavily in retaliation

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Trump warns China to “tie itself up” – reveals plans to raise tariffs heavily in retaliation.

Trung Quốc vs Mỹ
China vs. America

President Donald Trump has posted a lengthy post on social media, expressing deep concern about China’s latest moves. According to him, Beijing is becoming “very hostile” and has sent letters to many countries around the world, announcing plans to impose export controls on rare earths and many other strategic materials – even products not directly produced in China.

Trump said that if this plan were implemented, the global supply chain would be “clogged,” causing chaos in commodity markets and causing difficulties for most economies, especially the US. He said: “Nobody has ever seen anything like this before. They are trying to paralyze the world market.”

"China has been lying in wait for a long time"

In the post, President Trump asserted that he had long suspected that China was “biding its time” to make this strategic move, and now it had come true. He accused Beijing of “quietly taking control” of key industries such as magnets, rare earths, and high-tech materials – in order to gain a monopoly.

Trump called it an “arbitrary and hostile” move that was coercive toward the rest of the world. However, he also stressed that the US “has many more powerful monopoly advantages,” but has just never used them. And now, he said, “it’s time to use them.”

“I will respond – with massive tariffs”

Most notable in the speech was the passage where Trump affirmed that he was preparing a large-scale tax increase on imported goods from China. This was XEM as a direct response to the "hostile order" that he said China had just issued.

“One of the policies we are considering now is to substantially increase tariffs on Chinese goods coming into the United States,” Trump wrote. “There are many other options being seriously XEM .”

The 47th President of the United States also declared that if Beijing tried to strangle the raw material market, he would be forced to take financial action to protect America.

“No need to meet Xi Jinping anymore”

Trump revealed that he had planned to meet Chinese President Xi Jinping at the APEC summit in South Korea in two weeks, but after what just happened, he said there was “no reason to meet anymore.”

According to Trump, the letters that China sent to other countries “were very long, detailed, and listed specifically every element that they wanted to control or prevent from being exported to the world.” He called this an “extraordinary and dangerous” action, showing that Beijing was trying to “hold the world as an economic hostage.”

“The free world is awakening”

Trump said that not only he but many leaders of the “free world” were shocked by China’s move. He called it a “big wake-up call” for countries that are too dependent on raw materials and technology from Asia.

Notably, he stressed that the timing of this event coincided with the day that “after more than three thousand years of war and chaos, there was peace in the Middle East.” He hinted that “it may not be a coincidence,” as a hidden political message to the powers.

“It will hurt, but it will be good for America”

While acknowledging that the new tariffs may cause short-term pain to the economy, Trump believes they are “necessary” to restore America’s industrial might and strategic position. He asserted:

“I never thought we would have to go this far, but maybe, like everything else, the time is right. In the end, as difficult as it may be, this will be a good thing for America.”

Analysts' comments

International trade experts see the post as an official signal that the Trump administration is preparing to enter a new phase of confrontation with China.

China’s control of the supply of rare earths—essential for chips, electric cars, and weapons—could hit American companies hard. Conversely, a major Trump tariff hike could send the cost of imported goods soaring, raising the risk of inflation.

However, investors who support Trump argue that this policy will boost domestic industry, forcing businesses to return to manufacturing in the US, in line with his slogan “Make America Great Again”.

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Disclaimer: The content above is only the author's opinion which does not represent any position of Followin, and is not intended as, and shall not be understood or construed as, investment advice from Followin.
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