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China Warns Against U.S. 100% Tariff Threat

10/12/2025, 7:05:40 PM | China | United States

Consumer Electronics

China vowed to retaliate if the U.S. imposes 100% tariffs after Beijing tightened rare-earth export controls, risking further trade escalation.

Beijing signaled it will not back down after President Trump threatened to impose 100% tariffs on imports from China, urging Washington to resolve disputes through negotiation rather than threats.

China’s Commerce Ministry said its stance is consistent: “We do not want a tariff war but we are not afraid of one.” The statement followed the U.S. warning to raise tariffs by Nov. 1 in response to new Chinese rules limiting exports of rare earth elements, a group of critical minerals used in magnets, electric vehicles, radar, jet engines and many consumer electronics.

The ministry framed its message as answers from a spokesperson, stressing that export licenses will be granted for legitimate civilian uses while noting the minerals’ military applications. It warned that if the U.S. persists with high tariffs and expanded export controls, China will take corresponding measures to protect its interests.

Both capitals accuse each other of breaching a fragile truce by enacting fresh trade restrictions, and tit‑for‑tat port fees have been announced. The dispute over rare earth access — where China dominates processing and a large share of mining — raises the stakes for any planned talks between the two leaders.

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