Trump Threatens 'Massive Increase' In Tariffs Imposed On China
Trump added that while a meeting with President Xi Jinping had been planned in two weeks, there now seemed "no reason to do so."
US President Donald Trump on Friday accused China of becoming "very hostile," warning of a "massive increase" in tariffs on Chinese goods amid escalating trade tensions. He slammed Beijing for a "sinister move" in imposing export controls on rare earth materials and called recent Chinese letters to other nations "especially inappropriate."
Notably, the US and China appeared to have reached an understanding on trade of rare earth minerals and semiconductor chips, which had led to the tariff rate being lowered to 30% in August.
Trump's fresh comments indicate that the trade ties may plunge again. He said that a planned meeting with President Xi Jinping in two weeks now appeared unlikely, suggesting that the US may be forced to financially counter China's actions.
The remarks followed Beijing's announcement of new port fees targeting US-linked vessels. Starting Tuesday, ships owned, operated, or built by US entities, or flying the US flag, will face additional charges per voyage, while Chinese-operated vessels will pay a flat fee of $80 per net tonnage per trip to the US The Chinese transport ministry said the move was a response to upcoming US port fees on Chinese ships, which could cost over $1 million per vessel and rise annually through 2028.
In an earlier Truth Social post, Trump claimed China's rare earth policy aimed to "hold the world captive" and that its export restrictions would "clog markets" globally. He said other nations were alarmed by China's actions and had reached out to the US to express concern.
"One of the policies we are calculating right now is a massive increase of tariffs on Chinese products entering the US," Trump wrote, adding that several other countermeasures were under consideration.
Trump also hinted that the US could leverage its own monopoly positions in response. "For every element that they have been able to monopolise, we have two," he said. "I never thought it would come to this, but perhaps the time has come. Ultimately, though painful, it will be a good thing for the US."
Trump said his relationship with China had been "very good" over the past six months, making the sudden escalation all the more surprising. He confirmed that he had not spoken to Xi, adding, "Things that were routine are no longer routine at all."
