China

The technology is expected to boost capacity in environmental monitoring, urban planning and disaster management.

Pakistan has sent its first-ever hyperspectral satellite into orbit, a “major milestone” it says will help advance national objectives from agriculture to urban planning.

The country’s space agency, SUPARCO, announced the “successful launch” of the H1 satellite from northwestern China’s Jiuquan Satellite Launch Centre on Sunday.

Hyperspectral satellites can detect subtle chemical or material changes on the ground that traditional satellites cannot, making them especially useful for things like tracking crop quality, water resources or damage from natural disasters.

Pakistan’s Ministry of Foreign Affairs said the technology is expected to “significantly enhance national capacities” in fields like precision agriculture, environmental monitoring, urban planning and disaster management.

It said its ability to pinpoint geohazard risks will also contribute to development initiatives such as the China-Pakistan Economic Corridor (CPEC), which seeks to build infrastructure linking China’s northwestern Xinjiang province with Pakistan’s Gwadar Port.

🔊PR No.3️⃣1️⃣0️⃣/2️⃣0️⃣2️⃣5️⃣

SUPARCO Successfully Launches Pakistan’s First Hyperspectral Satellite https://t.co/N6dil4vaMe
🔗⬇️ pic.twitter.com/rFDSSIcstv

— Ministry of Foreign Affairs – Pakistan (@ForeignOfficePk) October 19, 2025

“The data from the Hyperspectral Satellite is poised to revolutionise agricultural productivity, bolster climate resilience, and enable optimised management of the country’s vital natural resources,” SUPARCO chairman Muhammad Yousuf Khan was quoted as saying in Pakistan’s Dawn newspaper.

‘Pivotal step’

Pakistan also hailed H1’s deployment as a “pivotal step forward” in its space programme, as well as a reflection of its longstanding partnership with China in the “peaceful exploration of space”.

“The mission reflects the ever-growing strategic partnership and deep-rooted friendship between the two nations, who continue to cooperate in advancing peaceful space exploration and harnessing its benefits for socioeconomic development,” said the Foreign Ministry.

The mission is part of a recent push in Pakistan to grow its space programme, which has sent three satellites into orbit this year, according to SUPARCO.

The two other satellites – EO-1 and KS-1 – are “fully operational in orbit”, reported Pakistan’s The News International newspaper.

It may take about two months to calibrate the H1 satellite’s systems before it is fully operational this year, according to a SUPARCO spokesperson quoted in Pakistani media.

Cheng Li-wun will take over the leadership of Kuomintang party on November 1.

Taiwan’s main opposition party has chosen a new reformist leader who is critical of high defence spending but envisions peace with neighbouring China, whose sovereignty claims over the island have long roiled ties.

Members of the opposition Kuomintang (KMT) party, which traditionally has had warm ties with Beijing, voted to elect former lawmaker Cheng Li-wun as chairperson on Saturday.

Cheng, 55, who defeated former Taipei Mayor Hau Lung-bin and four others, will take over the party leadership on November 1.

The election of Cheng, who warns against letting Taiwan “become the sacrifice of geopolitics”, has deep implications for domestic politics at a time of heightened military and political tensions with China.

While the KMT does not control the presidency, the party and its ally – the small Taiwan People’s Party – together hold enough seats to form a majority bloc in the legislature, creating a headache for the ruling Democratic Progressive Party (DPP) trying to get the budget and its legislation passed.

Speaking at party headquarters in Taipei, Cheng said the KMT under her leadership would be a “creator of regional peace”.

“The KMT will make our home the strongest shelter for everyone against life’s storms. Because we will safeguard peace across the Taiwan Strait,” she said. “We must not let Taiwan become a troublemaker.”

Accusations of Chinese interference

Cheng, who started out in politics in the DPP, said during the campaign that she did not support increasing the defence budget, a key policy of President William Lai Ching-te’s administration that also has strong backing from the United States.

Cheng beat the establishment candidate Hau, 73, with more than 50 percent of the vote, though turnout was less than 40 percent of the party members.

But accusations of Chinese interference in the election from a key supporter of Hau’s, the KMT’s vice presidential candidate last year, Jaw Shau-kong, overshadowed the campaign. Jaw said social media accounts had spread disinformation about Hau.

The head of Taiwan’s National Security Bureau, Tsai Ming-yen, said it found more than 1,000 videos discussing the election on TikTok, in addition to 23 YouTube accounts posting related content, with over half of the YouTube accounts based outside of Taiwan. He did not say which candidates these videos supported or directly answer whether they were based in China.

DPP spokesperson Wu Cheng claimed that Chinese interference was obvious and the KMT should carefully guard against it, saying his party hoped that the new chair would prioritise Taiwan’s safety over party interests.

Cheng rejected the allegations of China influencing her party as “very cheap labels”.

Beijing, for its part, said the election was a KMT matter and that some online comments from mainland China internet users did not represent an official stance.

Commercial flights between the countries to restart as diplomatic thaw eases tensions over border clashes.

State-backed China Eastern Airlines will resume Shanghai-Delhi flights from November 9, the airline’s website shows, as China and India resume direct air links amid a diplomatic thaw, largely triggered by aggressive United States trade policies, after a five-year freeze.

The flights will operate three times a week on Wednesdays, Saturdays and Sundays, the airline’s online ticket sales platform showed on Saturday.

China Eastern Airlines did not immediately respond to the Reuters news agency’s emailed request for comment.

India’s foreign ministry said earlier this month that commercial flights between the two neighbouring countries would restart after a five-year freeze.

The announcement followed Indian Prime Minister Narendra Modi’s first visit to China in more than seven years, for a summit meeting of the Shanghai Cooperation Organisation regional security bloc. The two sides discussed ways to improve trade ties, while Modi raised concerns about India’s burgeoning bilateral trade deficit.

India and China’s foreign ministries did not immediately respond to requests for comment on the Shanghai-Delhi flights.

India’s largest carrier, IndiGo, previously announced it would start daily nonstop flights between Kolkata and Guangzhou.

State-backed Guangzhou Baiyun International Airport said at the time of the IndiGo announcement that it would encourage airlines to open more direct routes, such as between Guangzhou and Delhi.

Direct flights between the two countries were suspended during the COVID pandemic in 2020 and did not resume after deadly clashes along their Himalayan border led to a prolonged military stand-off later that year.

Four Chinese soldiers and 20 Indian soldiers were killed in the worst violence between the neighbours in decades.

India and China’s diplomatic thaw comes amid US President Donald Trump’s increasingly belligerent trade polices.

The US president raised the tariff rate on Indian imports to a stiff 50 percent in September, citing the nation’s continuing purchases of Russian oil.

He also urged the European Union to impose 100 percent tariffs on China and India, ostensibly as part of his efforts to pressure Moscow to end its war in Ukraine.

Jose Raul Mulino says the visa-removal policy is ‘not coherent’ with the ‘good relationship’ he hopes to have with the US.

Panama President Jose Raul Mulino said that someone at the United States Embassy has been threatening to cancel the visas of Panamanian officials.

His statements come as the administration of US President Donald Trump pressures Panama to limit its ties to China.

Responding to a reporter’s question at his weekly news conference, Mulino said — without offering evidence — that an official at the US Embassy is “threatening to take visas”, adding that such actions are “not coherent with the good relationship I aspire to maintain with the United States”. He did not name the official.

The US Embassy in Panama did not immediately respond to a request for comment. The Trump administration has previously declined to comment on individual visa decisions.

But in September, the US Department of State said in a statement that the country was committed to countering China’s influence in Central America. It added that it would restrict visas for people who maintained relationships with China’s Communist Party or undermined democracy in the region on behalf of China.

Earlier this week, the Trump administration revoked the visas of six foreigners deemed by US officials to have made derisive comments or made light of the assassination of conservative activist Charlie Kirk last month.

Similar cases have surfaced recently in the region. In April, former Costa Rica President and Nobel Peace Prize winner Oscar Arias said the US had cancelled his visa. In July, Vanessa Castro, vice president of Costa Rica’s Congress, said that the US Embassy told her her visa had been revoked, citing alleged contacts with the Chinese Communist Party.

Panama has become especially sensitive to the US-China tensions because of the strategically important Panama Canal.

Secretary of State Marco Rubio visited Panama in February on his first foreign trip as the top US diplomat and called for Panama to immediately reduce China’s influence over the canal.

Panama has strongly denied Chinese influence over canal operations but has gone along with US pressure to push the Hong Kong-based company that operated ports on both ends of the canal to sell its concession to a consortium.

Mulino has said that Panama will maintain the canal’s neutrality.

“They’re free to give and take a visa to anyone they want, but not threatening that, ‘If you don’t do something, I’ll take the visa,’” Mulino said Thursday.

He noted that the underlying issue — the conflict between the US and China — “doesn’t involve Panama”.

AFP/Getty Images

New details of alleged spying

House of Commons

The United States and China have started charging additional port fees on ocean shipping firms that move everything from holiday toys to crude oil, making the high seas a key front in the trade war between the world’s two largest economies.

A return to an all-out trade war appeared imminent last week, after China announced a major expansion of its rare earths export controls, and US President Donald Trump threatened to raise tariffs on Chinese goods to triple digits.

But after the weekend, both sides sought to reassure traders and investors, highlighting cooperation between their negotiating teams and the possibility they could find a way forward.

China said it had started to collect the special charges on US-owned, operated, built or flagged vessels, but it clarified that Chinese-built ships would be exempted from the levies.

In details published by state broadcaster CCTV, China spelled out specific provisions on exemptions, which also include empty ships entering Chinese shipyards for repair.

Similar to the US plan, the new China-imposed fees would be collected at the first port of entry on a single voyage or for the first five voyages within a year.

“This tit-for-tat symmetry locks both economies into a spiral of maritime taxation that risks distorting global freight flows,” Athens-based Xclusiv Shipbrokers said in a research note.

Early this year, the Trump administration announced plans to levy the fees on China-linked ships to loosen the country’s grip on the global maritime industry and bolster US shipbuilding.

An investigation during the administration of former US President Joe Biden concluded that China uses unfair policies and practices to dominate the global maritime, logistics and shipbuilding sectors, clearing the way for those penalties.

China hit back last week, saying it would impose its own port fees on US-linked vessels from the same day the US fees took effect.

“We are in the hectic stage of the disruption, where everyone is quietly trying to improvise workarounds, with varying degrees of success,” said independent dry bulk shipping analyst Ed Finley-Richardson. He said he has heard reports of US shipowners with non-Chinese vessels trying to sell their cargoes to other countries while en route, so the vessels can divert.

The Reuters news agency was not immediately able to confirm this.

Tit-for-tat moves

Analysts expect China-owned container carrier COSCO to be the most affected by the US fees, shouldering nearly half of that segment’s expected $3.2bn cost from the fees in 2026.

Major container lines, including Maersk, Hapag-Lloyd and CMA CGM, slashed their exposure by switching China-linked ships out of their US shipping lanes. Trade officials there reduced fees from initially proposed levels, and exempted a broad swath of vessels after heavy pushback from the agriculture, energy and US shipping industries.

The Office of the US Trade Representative (USTR) did not immediately respond to a request for comment from Reuters.

China’s Ministry of Commerce on Tuesday said, “If the US chooses confrontation, China will see it through to the end; if it chooses dialogue, China’s door remains open.”

In a related move, Beijing also imposed sanctions on Tuesday against five US-linked subsidiaries of South Korean shipbuilder Hanwha Ocean, which it said had “assisted and supported” a US probe into Chinese trade practices.

Hanwha, one of the world’s largest shipbuilders, owns Philly Shipyard in the US and has won contracts to repair and overhaul US Navy ships. Its entities will also build a US-flagged LNG carrier.

Hanwha said it is aware of the announcement and is closely monitoring the potential business impact. Hanwha Ocean’s shares sank by nearly 6 percent.

China also launched an investigation into how the US probe affected its shipping and shipbuilding industries.

A Shanghai-based trade consultant said the new fees may not cause significant upheaval.

“What are we going to do? Stop shipping? Trade is already pretty disrupted with the US, but companies are finding a way,” the consultant told Reuters, requesting anonymity because he was not authorised to speak with the media.

The US announced last Friday a carve-out for long-term charterers of China-operated vessels carrying US ethane and liquefied petroleum gas (LPG), deferring the port fees for them through December 10.

Meanwhile, ship-tracking company Vortexa identified 45 LPG-carrying VLGCs — an acronym for very large gas carriers, a type of vessel — that would be subject to China’s port fee. That amounts to 11 percent of the total fleet.

Clarksons Research said in a report that China’s new port fees could affect oil tankers accounting for 15 percent of global capacity.

Meanwhile, Omar Nokta, an analyst at the financial firm Jefferies, estimated that 13 percent of crude tankers and 11 percent of container ships in the global fleet would be affected.

Trade war embroils environmental policy

In a reprisal against China curbing exports of critical minerals, Trump on Friday threatened to slap additional 100 percent tariffs on goods from China and put new export controls on “any and all critical software” by November 1.

Administration officials, hours later, warned that countries voting this week in favour of a plan by the United Nations International Maritime Organization (IMO) to reduce planet-warming greenhouse gas emissions from ocean shipping could face sanctions, port bans, or punitive vessel charges.

China has publicly supported the IMO plan.

“The weaponisation of both trade and environmental policy signals that shipping has moved from being a neutral conduit of global commerce to a direct instrument of statecraft,” Athens-based Xclusiv said.

Oct. 14 (UPI) — The Trump administration recently began charging fees for Chinese ships docking at U.S. ports, prompting China to retaliate.

The move, which has been long planned, is intended to correct the imbalance between American and Chinese shipbuilding businesses. The U.S. shipbuilding business has dwindled over the years as China has become dominant.

On Friday, China vowed reciprocal fees on American-made ships in its ports.

“This is symbolic — less than 1% of U.S. vessels docking in China annually are U.S.-flagged vessels, so the reality is this basically has no real impact,” Cameron Johnson, a senior partner at Shanghai-based supply chain consultancy Tidalwave Solutions, told Politico. “But it signals that Beijing will match every single effort the United States targets against China — if the U.S. sanctions a Chinese company, they’re going to sanction a U.S. company. If we impose export controls on technology, they’re going to do export controls on technology. We have just now escalated to a whole new level of trade warfare that nobody was expecting.”

Supporters say that China has used subsidies for an advantage in shipbuilding, and that the fees can deter ocean carriers from buying Chinese ships, The New York Times reported.

“Anything we can do to chip away at the disparity in shipbuilding that exists between the United States and China is to our benefit,” Mihir Torsekar, a senior economist at the Coalition for a Prosperous America, a group that supports many of Trump’s trade moves, told The Times.

Chinese-owned shipping companies must pay the levies, as well as non-Chinese-owned companies, when they send Chinese-made ships to U.S. ports.

The new fees will also target all foreign car-carrying ships that come to the United States. Car-makers lobbied against the fees, arguing that they could add hundreds to the cost of a vehicle. Shipping analysts say it could take many years for the U.S. shipbuilding industry to build a car-carrier ship.

“The idea that these fees will lead to anyone ordering a U.S.-built car carrier are, I think, extremely remote,” Colin Grabow, an associate director at the Cato Institute, told The Times.

The port fees levied against Chinese ships are $50 per ton, with the fee set to increase by $30 per ton each year over the next three years. Politico reported. China’s port charges will also annually escalate to a maximum of $157 in 2028.

“If the goal is to get U.S. shipbuilding back up and running, we think there are other ways that we need to focus on doing that — just putting fees on Chinese vessels isn’t going to solve that issue,” said Jonathan Gold, vice president of supply chain and customs policy at the National Retail Federation, told Politico.

Oct. 14 (UPI) — China on Tuesday blacklisted five U.S. subsidiaries of South Korean shipmaker Hanwha Ocean, escalating the trade row between Beijing and Washington.

The countermeasures prohibit Chinese entities and individuals from engaging in business with Hanwha Ocean America in Houston, Texas; Hanwha Ocean USA in San Diego, Calif.; Hanwha Ocean Defense Systems in Norfolk, Va.; Hanwha Ocean Marine Engineering in New York City, N.Y.; and Hanwha Ocean Procurement Services in Bridgeport, Conn.

Beijing’s Commerce Ministry said the companies were blacklisted to counter actions the United States has taken against China targeting its maritime, logistics and shipbuilding sectors.

“These subsidiaries have assisted and supported relevant U.S. government investigations and actions, thereby endangering China’s sovereignty, security and development interests,” the ministry said in a statement.

China’s Ministry of Transport is also charging U.S.-linked vessels special port fees.

The countermeasures were announced as the first phase of fees the United States is leveling against China’s ship industry is to go into effect following findings of an April 2024 investigation launched by the U.S. Trade Representative under the previous Biden administration into China’s alleged unfair practices in the maritime, logistics and shipbuilding sectors.

The investigation was launched at the behest of five national labor unions accusing China of employing non-market policies far more aggressive and interventionist than employed by any other country in an effort to dominate the global shipbuilding, maritime and logistics sectors.

As remedy, the U.S. Trade Representative in March proposed services fees and port-entry fees against Chinese-origin ships, effective Tuesday.

A spokesperson for China’s Ministry of Commerce alleged to reporters Tuesday that the United States’ action “severely violates” World Trade Organization rules and “breaches the principle of equality and mutual benefit” of a 1980 agreement between Beijing and Washington concerning maritime transport cooperation.

“China has repeatedly express its strong dissatisfaction and firm opposition,” the spokesperson said, while accusing the United States of being unwilling to cooperate with Beijing on the matter.

“China’s countermeasures are necessary acts of passive defense and are aimed at maintaining the legitimate rights and interests of Chinese industries and enterprises, as well as the level playing-field of the international shipping and shipbuilding markets,” the spokesperson said.

“It is hoped the U.S. will face up to its mistake, move with China in the same direction and return to the right track of dialogue and consultation.”

U.S.-China trade relations, which deteriorated sharply during Trump’s first term, have further strained under his current administration, which has repeatedly imposed tariffs on Chinese goods that are being challenged in U.S. courts and at the World Trade Organization.

The two countries have been in a trade squabble since last week when Beijing’s Commerce Ministry announced tightened export restrictions on rare earth items and materials. In response, Trump announced a 100% tariff threat on his Truth Social media platform. China, whose imports are currently subject to a 30% tariff, responded by threatening to retaliate.

The back and forth comes after representatives from Washington and Beijing held trade talks in Beijing last month with prospects of further negotiations continuing this month in South Korea.

However, whether those discussions will take place on the sidelines of the Asia-Pacific Economic Cooperation forum in Gyeongju remains unclear.

China has accused the United States of “double standards” after US President Donald Trump threatened to impose an additional 100 percent tariff on Chinese goods in response to Beijing’s curbs on exports of rare earth minerals.

China says its export control measures announced last week were in response to the US restrictions on its entities and targeting of Beijing’s maritime, logistics and shipbuilding industries.

Trump’s tariff threats, which come weeks ahead of the likely meeting between the US president and his Chinese counterpart Xi Jinping, have the potential to reignite a trade war months after Washington lowered the China tariffs from 125 to 30 percent.

The actions by the world’s two largest economies threaten to ignite a new trade war, adding further uncertainty to global trade. So what’s the recent history of US trade measures against China, and will the two countries be able to resolve their differences?

Why did China tighten export controls on rare earths?

On October 9, China expanded export controls to cover 12 out of 17 rare-earth metals and certain refining equipment, effective December 1, after accusing Washington of harming China’s interests and undermining “the atmosphere of bilateral economic and trade talks”.

China also placed restrictions on the export of specialist technological equipment used to refine rare-earth metals on Thursday.

Beijing justified its measures, accusing Washington of imposing a series of trade curbs on Chinese entities despite the two sides being engaged in trade talks, with the last one taking place in Madrid, Spain last month.

Foreign companies now need Beijing’s approval to export products containing Chinese rare earths, and must disclose their intended use. China said the heightened restrictions come as a result of national security interests.

China has a near monopoly over rare earths, critical for the manufacture of technology such as electric cars, smartphones, semiconductors and weapons.

The US is a major consumer of Chinese rare earths, which are crucial for the US defence industry.

At the end of this month, Trump and Xi are expected to meet in South Korea, and experts speculate that Beijing’s move was to gain bargaining advantage in trade negotiations with Washington.

China’s tightening of restrictions on rare earths is “pre-meeting choreography” before Trump’s meeting with Xi, Kristin Vekasi, the Mansfield chair of Japan and Indo-Pacific Affairs at the University of Montana, told Al Jazeera.

How did Trump respond?

On October 10, Trump announced the imposition of a 100 percent tariff on China, effective from November 1.

“Based on the fact that China has taken this unprecedented position … the United States of America will impose a Tariff of 100 percent on China, over and above any Tariff that they are currently paying,” Trump wrote in a post on his Truth Social platform.

He added that this would come into effect on November 1 or before that. Trump added that the US would also impose export controls on “any and all critical software”.

Earlier on October 10, Trump accused China of “trade hostility” and even said he might scrap his meeting with Xi. It is unclear at this point whether the meeting will take place.

“What the United States has is we have a lot of leverage, and my hope, and I know the president’s hope, is that we don’t have to use that leverage,” US Vice President JD Vance told Fox News on Sunday.

How did China respond to that?

China deemed the US retaliation a “double standard”, according to remarks by the Chinese Ministry of Commerce spokesperson on Sunday.

China said that Washington had “overstretched the concept of national security, abused export control measures” and “adopted discriminatory practices against China”.

“We are living in an era of deeper intertwining of security and economic policies. Both the US and China have expanded their conceptions of national security, encompassing a range of economic activities,” Manoj Kewalramani, chairperson of the Indo-Pacific Studies Programme at the Takshashila Institution in Bangalore, India, told Al Jazeera.

“Both have also weaponised economic interdependence with each other and third parties. There are, in other words, no saints in this game.”

Kewalramani said that China started expanding the idea of “national security” much earlier than others, especially with its “comprehensive national security concept” introduced in 2014.

Through this, China began to include many different areas, such as economics, technology, and society, under the term “national security”. This shows that China was ahead of other countries in broadening what counts as a national security issue.

China threatened additional measures if Trump went ahead with his pledge.

“Willful threats of high tariffs are not the right way to get along with China. China’s position on the trade war is consistent: we do not want it, but we are not afraid of it,” the Chinese Commerce Ministry spokesperson said in a statement.

“Should the US persist in its course, China will resolutely take corresponding measures to safeguard its legitimate rights and interests,” the statement said.

What trade measures has the US taken against China in recent history?

2025: Trump unleashes tariff war

A month after taking office for his second term, Trump signed an executive order imposing a 10 percent tariff on all imports from China, citing a trade deficit in favour of China. In this order, he also imposed tariffs on Mexico and Canada. China levied countermeasures, imposing duties on US products in retaliation.

In March, the US president doubled the tariff on all Chinese products to 20 percent as of March 4. China imposed a 15 percent tariff on a range of US farm exports in retaliation; these took effect on March 10.

Trump announced his “reciprocal tariffs,” imposing a 34 percent tariff on Chinese products. China retaliated, also announcing a 34 percent tariff on US products. This was the first time China announced export controls on rare earths.

Hours after the reciprocal tariffs went into effect, Trump paused them for all his tariff targets except China. The US and China continued to hike tit-for-tat levies on each other.

Trump slapped 145 percent tariffs on Chinese imports, prompting China to hit back with 125 percent tariffs. Washington and Beijing later cut tariffs to 30 percent and 10 percent, respectively, in May, then agreed to a 90-day truce in August for trade talks. The truce has been extended twice.

December 2024: The microchip controls are tightened

In December 2024, Trump’s predecessor, former US President Joe Biden, tightened controls on the sale of microchips first introduced on October 2022.

Under the new controls, 140 companies from China, Japan, South Korea and Singapore were added to a list of restricted entities. The US also banned more advanced chip-making equipment to certain countries. Even products manufactured abroad with US technology were restricted.

April 2024: Biden signs the TikTok ban

Biden signed a bill into law that would ban TikTok unless it was sold to a non-Chinese buyer within a year. The US government alleged that TikTok’s Chinese parent company ByteDance was linked to the Chinese government, making the app a threat to national security.

ByteDance sued the US federal government over this bill in May 2024.

In September this year, Trump announced that a deal was finalised to find a new owner of TikTok.

October 2023: Biden introduces more restrictions on chips

In October 2023, Biden restricted US exports of advanced computer chips, especially those made by Nvidia, to China and other countries.

The goal of this measure was to limit China’s access to “advanced semiconductors that could fuel breakthroughs in artificial intelligence and sophisticated computers that are critical to [Chinese] military applications,” Gina Raimondo, who was secretary of the US Department of Commerce during the Biden administration, told reporters.

Prior to this, Biden signed an executive order in August 2023, creating a programme that limits US investments in certain high-tech areas, including semiconductors, quantum computing, and artificial intelligence, in countries deemed to be a security risk, like China.

October 2022: Biden restricts Chinese access to semiconductors

Biden restricted China’s access to US semiconductors in October 2022. The rules further expanded restrictions on chipmaking tools to include industries that support the semiconductor supply chain, blocking both access to American expertise and the essential components used in manufacturing the tools that produce microchips.

Semiconductors are used in the manufacturing of artificial intelligence (AI) technologies. The US government placed these restrictions back then to limit China’s ability to acquire the ability to produce semiconductors and advance in the technological race.

The restrictions made it compulsory for entities within China to apply for licences to acquire American semiconductors. Analysis by the US-based Carnegie Endowment for International Peace described these licences as “hard to get” back then.

Recently, some US lawmakers are calling for even more restrictions, warning that China could quickly reverse-engineer advanced semiconductor technologies on its own, outpace the US in the sector, and gain a military edge.

May 2020: Trump cracks down on Huawei

In May 2020, the US Bureau of Industry and Security intensified rules to stop Huawei, the Chinese tech giant, from using American technology and software to design and make semiconductors in other countries.

The new rules said that semiconductors are designed for Huawei using US technology or equipment, anywhere in the world, would need US government approval before being sent to Huawei.

May 2019: Trump bans Huawei

Trump signed an executive order blocking Chinese telecommunications companies like Huawei from selling equipment in the US. The Shenzhen-based Huawei is the world’s largest provider of 5G networks, according to analysis by the New York City-based think tank the Council on Foreign Relations (CFR).

Under this order, Huawei and 114 related entities were added to a list that requires US companies to get special permission (a licence) before selling certain technologies to them.

The rationale behind this order was the allegation that Huawei threatened US national security, had stolen intellectual property and could commit cyber espionage. Some US lawmakers alleged that the Chinese government was using Huawei to spy on Americans. The US did not publicise any evidence to back these allegations.

Other Western countries had also cooperated with the US.

March 2018: Trump imposes tariffs on China

During his first administration, Trump imposed sweeping 25 percent tariffs on Chinese goods worth as much as $60bn. In June of 2018, Trump announced more tariffs.

China retaliated by imposing tariffs on US products. Beijing deemed Trump’s trade policies “trade bullyism practices”, according to an official white paper, as reported by Xinhua news agency.

In September 2018, Trump issued another round of 10 percent tariffs on Chinese products, which were hiked to 25 percent in May 2019.

During the Obama administration (2009-2017)

In 2011, during US President Barack Obama’s tenure, the US-China trade deficit reached an all-time high of $295.5bn, up from $273.1bn in the previous year.

In March 2012, the US, European Union, and Japan formally complained to China at the World Trade Organization (WTO) about China’s limits on selling rare earth metals to other countries. This move was deemed “rash and unfair” by China.

In its ruling, the world trade body said China’s export restraints were breaching the WTO rules.

In 2014, the US indicted five Chinese nationals with alleged ties to China’s People’s Liberation Army. They were charged with stealing trade technology from American companies.

What’s next for the US-China trade war?

Trump and Xi are expected to meet in South Korea on the sidelines of the Asia-Pacific Economic Cooperation (APEC), which is set to begin on October 31.

But the latest trade dispute has clouded the Xi-Trump meeting.

On Sunday, Trump posted on his Truth Social platform, downplaying the threat: “Don’t worry about China, it will all be fine! Highly respected President Xi just had a bad moment. He doesn’t want Depression for his country, and neither do I. The U.S.A. wants to help China, not hurt it!!!”

In an interview with Fox Business Network on Monday, US Treasury Secretary Scott Bessent said, “President Trump said that the tariffs would not go into effect until November 1. He will be meeting with [Communist] Party Chair Xi in [South] Korea. I believe that meeting will still be on.”

When it comes to which of the two players is more affected by the trade war, Kewalramani said that he thinks “what matters is who is willing to bear greater pain, endure greater cost”.

“This is the crucial question. I would wager that Beijing is probably better placed because Washington has alienated allies and partners with its policies since January. But then, China’s growing export controls are not simply aimed at the US. They impact every country. So Beijing has not also endeared itself to anyone,” Kewalramani said, pointing out how Trump’s tariffs and China’s rare earth restrictions target multiple countries.

“The ones affected the most are countries caught in the midst of great power competition.”

On Sunday, US VP Vance told Fox News about China: “If they respond in a highly aggressive manner, I guarantee you, the president of the United States has far more cards than the People’s Republic of China.”

Kewalramani said that so far, Beijing has been more organised, prepared and strategic than the US in its policies.

“That said, it has overreached with the latest round of export controls. US policy, meanwhile, has lacked strategic coherence. The US still is the dominant global power and has several cards to play. What matters, however, is whether it can get its house in order.”

Oct. 13 (UPI) — China vowed to retaliate if U.S. President Donald Trump makes good on his threat to impose a 100% tariff on goods from the Asian country, further straining fraught trade relations between the world’s largest economies.

“If the U.S. insists on going the wrong way, China will surely take resolute measures to protect its legitimate rights and interests,” a spokesperson for China’s Ministry of Commerce said Sunday in a statement.

The back and forth comes after representatives from Washington and Beijing held trade talks in Beijing last month with prospects of further negotiations continuing this month in South Korea.

However, whether those discussions will continue on the sidelines of the Asia-Pacific Economic Cooperation forum in Gyeongju remains unclear.

U.S.-China trade relations have deteriorated under the Trump administration, which has repeatedly imposed tariffs on Chinese goods that are being challenged in U.S. courts are at the World Trade Organization.

Late last week, Beijing’s Commerce Ministry announced tighten export restrictions on rare earth items and materials. In response, Trump announced the 100% tariff threat on his Truth Social media platform. China imports are currently subject to a 30% tariff.

The American leader said the import tax would go into effect Nov. 1, along with additional export controls on so-called critical software.

“It is impossible to believe that China would take such an action, but they have, and the rest is History,” Trump said in the statement.

China’s commerce ministry on Sunday accused the United States of hypocrisy, saying Washington in the 20 days since their talks in Madrid has “introduced a string of new restrictive measures,” pointing to Washington putting multiple Chinese firms on the Entity List, expanded the scope of export controls affecting thousands of Chinese companies and other actions.

“The U.S. actions have severely harmed China’s interests and undermined the atmosphere of bilateral economic and trade talks, and China is resolutely opposed to them,” the ministry spokesperson said.

“China’s stance is consistent. We do not want a tariff war but we are not afraid of one.”

IF a Chinese bloke had been caught spying for the UK in Beijing, he’d currently be hung up by his toes in a cell, awaiting execution.

That’s how the Chinese sort things out. Nobody in Beijing would be worrying much if the UK is a threat or not.

2

2

Bullet or lethal injection, Wu’s yer uncle.

Or maybe they would be pawed to death by an angry panda.

But it’s more often a bullet between the eyes.

Most countries take spying and espionage very seriously.

Indeed, ensuring we are safe from foreigners who might do us harm is the first duty of a government.

But clearly it is a duty that Sir Keir Starmer does not take remotely seriously.

Last week, two Brits were due to be tried for spying for the Chinese.

They were Christopher Cash, a parliamentary researcher, and Christopher Berry, a researcher who works in China.

Both deny any wrongdoing.

But suddenly, at the last minute, the Crown Prosecution Service dropped the case.

It didn’t bother explaining why — one minute the trial was on, the next it was dead meat.

Industrial secrets

It now transpires that the CPS took advice from British government officials.

It is entirely possible that the UK’s National Security Adviser, Jonathan Powell, a good mate of Keir, was one of the officials involved.

Shortly after their meeting with the CPS, the decision was taken to drop the case.

Why? They apparently told the CPS China couldn’t be called a “threat” to the UK.

Instead, it was just a “geo-political challenge”.

And so the charges against Cash and Berry wouldn’t stick.

In a previous spying case it was decided that charges were relevant only if it involved “a country which represents, at the time of the offence, a threat to the national security of the UK”.

Have you ever heard anything more ridiculous?

If China isn’t a threat to the UK, then who is?

The head of MI5, Sir Ken McCallum, has reported that the Chinese have tried to entice 20,000 Brits to act as spies for them, against our interests.

Did nobody think to ask Sir Ken if he thought China was a threat? I suspect I know the answer that would have been forthcoming

He also claimed that 10,000 UK businesses were at threat from the Chinese trying to nick industrial secrets.

In addition, he said that MI5 had 2,000 current investigations into Chinese spying activity — and that a new case was opened on the Chinese — behaving very deviously indeed — every 12 hours.

Did nobody think to ask Sir Ken if he thought China was a threat?

I suspect I know the answer that would have been forthcoming.

Of course the country is a threat.

It is menacing other nations down in South East Asia.

It has a whole bunch of nukes pointed directly at the West.

It arrests dissidents who want western-style freedoms.

And it does everything it can to undermine the UK’s politics and industry.

Truth be told, anybody who is working secretly for a foreign country in the UK is a threat to this country.

Especially if they are working in the House of Commons.

This seems to me so obvious that it should not need stating.

If their secret outside income involves a vast load of Yuan, some fortune cookies and cans of bubble tea, then we should investigate very seriously.

The truth in this particular case, though, is particularly damning.

It seems almost certain that Whitehall officials intervened at the behest of the Government.

And that they did this so as not to p**s off the Chinese — because aside from being a threat to the UK, which China certainly is, we are going cap in hand begging for investment from them.

Other nations don’t have a problem with employing a dual approach.

Make no mistake, we may need to do business with the likes of China, much as we did once with Russia — but they ARE the enemy

They understand that while they all need to do trade with horrible totalitarian countries such as China, they also need to count their spoons, if you get my meaning — and at the slightest sign of devious behaviour, call them out.

The Chinese understand this too.

Yes, being caught with a bunch of spies in our Parliament may be embarrassing for a short while.

But it won’t be allowed to get in the way of China making more money.

It seems that our government was too frit to risk it.

Too scared that the Chinese might react nastily and pull investment.

Or decide not to invest in the future. We mustn’t offend the Chinese.

Strategies like this simply do not work — and the Chinese, just like their big mates the Russians, will continue to spy on our institutions and do everything they can to harm our state.

Enemy is laughing

Make no mistake, we may need to do business with the likes of China, much as we did once with Russia — but they ARE the enemy.

And currently an enemy that is laughing its head off.

The government officials involved will be coming before the House of Commons Joint Committee on National Security Strategy.

If it is discovered that Jonathan Powell did warn off the CPS from pursuing the cases against Cash and Berry, then Powell should resign or be sacked.

Unless, of course, Powell was simply doing the bidding of the Prime Minister or the then Foreign Secretary, the intellectual colossus who is David Lammy.

If that’s the case then THEY should resign.

One way or another, we cannot allow Chinese spies to run amok in this country of ours just because we want to trouser some more wonga down the line, through Chinese investment.

This is a truly important week for Starmer.

The Chinese spygate scandal is the most serious he has faced since taking office last July.

It could yet be the finish of the man.

Which won’t make me lose a terrific amount of sleep, I have to tell you.

THE Man Who Never Sweats is probably feeling a bit moist under the armpits right now.

It has been discovered that Prince Andrew was still sending chummy texts to disgraced paedo Jeffrey Epstein long after the royal said he was.

Andrew is alleged to have messaged him to say: “We are in this together.”

This happened 12 weeks after the point at which Andrew claimed, in that BBC interview, to have cut off all contact with the odious slimeball.

It’s high time King Charles took action and kicked Andrew out of his Royal Lodge home in Windsor Great Park.

I’M sure there must be some people on those pro-Palestinian marches who are not actually dyed-in-the-wool antisemites.

But if so, how do they react to a comrade saying that they “don’t give a f***” about the Jewish community?

Or the protesters in Glasgow who unfurled a banner praising the “martyrs” of Hamas for murdering about 1,200 Israeli civilians and taking 251 hostage on October 7, 2023?

Or the chants about killing the IDF?

Or the demands for Israel to cease to exist?

Or for a global intifada?

It is one thing to have a few doubts about Israeli Prime Minister Benjamin Netanyahu.

It is altogether another to stand alongside rabid, Jew-hating jihadis, chanting their odious slogans.

Isn’t it time these fellow travellers had a Mitchell and Webb moment and asked themselves: “Hey . . . are we the BAD guys?”

Beijing says it will not back down in the face of threats, urging the US to resolve differences through negotiations.

China has called United States President Donald Trump’s new tariffs on Chinese goods hypocritical as it defended its curbs on exports of rare earth elements and equipment, while stopping short of imposing additional duties on US imports.

In a lengthy statement on Sunday, China’s Ministry of Commerce said its export controls on rare earths, which Trump had labelled “surprising” and “very hostile”, were introduced in response to a series of US measures since their trade talks held in Madrid, Spain, last month.

“China’s stance is consistent,” the ministry said in a statement posted online. “We do not want a tariff war but we are not afraid of one.”

Trump on Friday retaliated to the Chinese curbs on rare earth exports by announcing a 100 percent tariff on Chinese exports to the US and new export controls on critical software, effective from November 1.

Beijing cited Washington’s decision to blacklist Chinese firms and impose port fees on China-linked ships as examples of what it called “provocative and damaging” actions, calling Trump’s tariff threat a “typical example of double standards”.

“These actions have severely harmed China’s interests and undermined the atmosphere for bilateral economic and trade talks. China firmly opposes them,” the ministry said.

Unlike earlier rounds of tit-for-tat tariffs, China has not yet announced any countermeasures.

Rare earths have been a major sticking point in recent trade negotiations between the two superpowers. They are critical to manufacturing everything from smartphones and electric vehicles to military hardware and renewable energy technology.

China dominates the global production and processing of these materials. On Thursday, it announced new controls on the export of technologies used for the mining and processing of critical minerals.

The renewed trade tensions between the world’s two largest economies also risk derailing a potential summit between Trump and Chinese President Xi Jinping at the Asia-Pacific Economic Cooperation summit in South Korea later this month. It would have been their first face-to-face encounter since Trump returned to power in January.

The dispute has also rattled global markets, dragging down major tech stocks and worrying companies reliant on China’s dominance in rare earth processing.

Monaco’s 204th-ranked Vacherot ousts Djokovic before his cousin beats Medvedev to set up a rare tennis masters final.

Cousins Valentin Vacherot and Arthur Rinderknech will meet in a dream final of the Shanghai Masters after pulling off stunning semifinal upsets of former champions Novak Djokovic and Daniil Medvedev.

World number 204 Vacherot became the lowest ranked player to reach an ATP Masters 1000 final after he defeated a struggling Djokovic 6-3, 6-4 on Saturday.

Hours later, Rinderknech knocked out former US Open champion Medvedev 4-6, 6-2, 6-4 to complete an extraordinary family double.

“I can’t even say it’s a dream because I don’t think even one person in our family dreamt about it,” Rinderknech said about facing his cousin in Sunday’s final.

“It was a dream that came out of nowhere.”

Qualifier Vacherot troubled Djokovic with drop shots and punishing rallies, and the Serbian fourth seed, struggling to turn, took medical timeouts during both sets.

“This is just crazy. … Just to be on the other side of the court [from Djokovic] was an unbelievable experience,” said Vacherot, who became the first player from Monaco to reach an ATP Tour final in the open era.

Djokovic broke Vacherot in the first game of the match, but the 26-year-old immediately broke back and had built a 4-3 lead when the Serbian took his first medical timeout.

Vacherot won the next two games with ease to secure the first set and put Djokovic through a 12-minute battle for the first game of the second set, which the 38-year-old managed to win after saving two break points.

A double fault led to Djokovic losing his serve as Vacherot took a 5-4 lead that tipped the set in his favour.

“Such a pleasure to play at least once against you. Don’t retire,” Vacherot told Djokovic as both players shook hands at the net.

Four-time Shanghai Masters winner Djokovic congratulated Vacherot, who is set to break into the top 50 in the world rankings.

“Going from qualifications, it’s an amazing story. I told him at the net that he’s had an amazing tournament but more so his attitude is very good and his game was amazing as well,” the world number five told reporters.

“So it’s all about him. I wish him all the best in the finals, and the better player won today.”

‘I’m going to fight like crazy’

World number 54 Rinderknech threw caution to the wind after losing the first set to Medvedev, getting an early break and saving five break points in a 12-minute game to go 3-0 up in the second.

Medvedev struggled with the 30-year-old Frenchman’s strong returns, finding the net from the baseline multiple times as Rinderknech won the second set 6-2 as Vacherot watched from the stands.

A decisive break secured the third set for Rinderknech as Medvedev saved the first match point with a 207km/h (129mph) serve down the middle but gave away the second with a double fault.

“I was like, ‘You know what? Maybe I’m going to lose, but I’m going to fight like crazy,’” Rinderknech said.

“‘I’m going to make him tired for tomorrow, and at least I’m going to help [Valentin] to at least try to start the match a little bit ahead physically.’

“Then somehow I got the break and then another one finished the set, and then I was like, ‘You know what? I’m just going to try everything and give it my best,’ and somehow it worked out.”

Oct. 10 (UPI) — President Donald Trump is imposing another 100% in tariffs on Chinese goods exported to the United States and will restrict software exports to China.

The new tariffs are in addition to an existing 30% tariff on Chinese goods and would take effect on Nov. 1, and possibly sooner, the president said in a social media post on Friday, according to CBS News.

The United States in November also will place restrictions on “critical software” destined for China.

Trump said he also might cancel a meeting with Chinese President Xi Jinping due to new Chinese restrictions on rare earth minerals exports.

Trump and Xi are scheduled to meet in South Korea during an international economic conference that starts on Nov. 2, but the U.S. president on Friday said he no longer has a reason to do so.

“Some very strange things are happening in China!” the president said Friday in a post on Truth Social.

“They are becoming very hostile and sending letters to countries throughout the world that they want to impose export controls on each and every element of production having to do with rare earths,” Trump said.

The export restrictions would “clog’ the markets and make life difficult for virtually every country in the world — especially for China,” he added.

The president said representatives of other nations have contacted his administration and are “extremely angry over this trade hostility, which came out of nowhere.”

“There is no way China should be allowed to hold the world ‘captive,'” Trump said.

“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.”

Pending Chinese rare earth minerals restrictions

China sent letters that are several pages long to other nations and detail every rare earth element that Chinese leaders want to withhold from other countries, Trump said.

China controls most of the world’s rare earth minerals market and announced the new restrictions on Thursday, according to CNBC.

The restrictions announced on Thursday would take effect on Dec. 1 and affect the manufacturing of semiconductors and other technologies that rely on rare earth minerals, such as batteries for electric vehicles.

The Chinese government intends to require companies located outside of China to obtain a license to export their goods that contain rare earth minerals, The New York Times reported.

It also seeks to regulate the refining of rare earth minerals and certain types of technologies used to manufacture batteries.

The Chinese trade restrictions were announced amid efforts to ease trade tensions between the United States and China, which Trump and Jinping were expected to discuss during the Asia-Pacific Economic Cooperation conference in Seoul, South Korea, in January, Politico reported.

Mutually assured economic disruption

Beijing’s announcement on Thursday could trigger “mutually assured disruption” of the Chinese, U.S. and other global economies, said Craig Singleton, a China fellow for the Foundation for Defense of Democracies.

He called China’s move a “miscalculation” and said Trump’s social media post shows China has crossed a line that is likely to cause a trade war.

“Both sides are reaching for their economic weapons at the same time,” Singleton told Politico, “and neither seems willing to back down.”

The Dow Jones Industrial Average reflected the news of the likely trade war on Friday and was down more than 520 points at $45,837.60 as of 2:25 p.m. EDT.

While the Dow is down, China’s pending rare earth minerals trade restrictions have spurred a run on related stocks, CNBC reported.

Rare earth mining firm MP Materials’ share price rose by 15% and USA Rare Earth’s shares by 19 percent during morning trading on the New York Stock Exchange.

USA Rare Earth is a vertically integrated rare earth miner and producer of magnets used in a variety of technologies.

NioCorp Developments’ share price also rose by 14% and Energy Fuels’ by more than 10% during trading late Friday morning.

A TOP Tory minister has said she fears her hotel room was bugged on a fact-finding trip to Taiwan.

It comes after a case against an accused Chinese spy, Chris Cash, collapsed last month when the Government refused to class Beijing as a threat to national security.

5

5

Chris Cash, 30, and his friend Christopher Berry, 33, were both accused and denied spying for China.

Cash, a parliamentary researcher, received high level briefings from former MI6 spooks, ambassadors and ministers before he was dramatically arrested.

The former teacher, who had lived and worked in China, was accused of passing secrets to Beijing.

The Crown Prosecution Service case against the two alleged spies collapsed with ministers blamed for failing to provide key evidence that China was a national security threat at the time.

Starmer has since claimed that there was nothing he could do about the issue and blamed the former government for not designating China a threat when the offences took place.

The Daily Mail has now revealed that at the same time the Government was refusing to designate Beijing a threat, then foreign secretary David Lammy was doing just that.

He branded China an enemy of Britain during a debate in the commons in an effort to defend Labour’s surrender of the Chagos Islands.

The Shadow National Security Minister, Alicia Kearns, 37, has now revealed that she was a target during the alleged spy operation.

In what is thought to be a spy dossier, details of her hotel room in Taiwan were found.

When the senior Tory minister was on a fact finding trip to the country as chairman of the foreign affairs committee, she fears she was bugged by Beijing.

She told the Daily Mail: “They could have got in that room at any time.

“You can’t be sure that the room hasn’t got a bug or a camera somewhere.

“There could be photos of you walking around your hotel room naked.”

China had threatened that the mother-of-three’s trip would result in “repercussions.”

5

5

She worked alongside Mr Cash for a year and raised concern that others he met through work may have been exposed.

Chinese dissidents, victims of transnational repression and people intimidated in secret Chinese police stations in the UK may have all been laid bare to Mr Cash.

The Shadow National Security Minister continued, saying Mr Cash worked at the heart of government policy on China.

He gained insight from the Foreign Office, Home Office, Treasury and Department for Business and Trade according to Ms Kearns.

Mr Cash worked on key government policy around China including the TikTok ban on government devices and exposing covert Chinese police stations in the UK.

The alleged spy managed to speak to every top China expert in the UK, finding himself in a position to glean information as “valuable as gold dust” to Beijing Ms Kearns believes.

The revelations could raise more questions about why the case against the accused spooks was dropped.

Foreign Secretary Yvette Cooper admitted: “We know China poses threats to the UK national security.”

“I am deeply frustrated about this case, because I, of course, wanted to see it prosecuted.”

Ex-diplomat Charles Parton previously told The Sun that the Government’s refusal to brand Beijing a threat clearly showed “a desire not to offend China.”

Mr Parton, who was due to testify for the prosecution, slammed the CPS for failing to find new witnesses after the Government pulled its national security official at the last minute.

He told The Sun: “They are both to blame. The Government for withdrawing.

“But the CPS should have got some evidence from experts to say, ‘Is China a threat?’

“Then the jury could have said, ‘Yes, national security threat,’ and now we’re going ahead and trying this case.

“That smacks either of interference by the Government or just sheer incompetence.”

Chris Cash and Christopher Berry both deny all charges brought against them under the official secrets act.

5

WASHINGTON — President Trump said Friday that he’s placing an additional 100% tax on Chinese imports starting on Nov. 1 or sooner, potentially escalating tariff rates close to levels that in April fanned fears of a steep recession and financial market chaos.

The president said on his social media site that he is imposing these new tariffs because of export controls placed on rare earth elements by China. The new tariffs built on an earlier post Friday on Truth Social in which Trump said that “there seems to be no reason” to meet with Chinese leader Xi Jinping as part of an upcoming trip to South Korea.

Trump said that “starting November 1st, 2025 (or sooner, depending on any further actions or changes taken by China), the United States of America will impose a Tariff of 100% on China, over and above any Tariff that they are currently paying.”

The announcement after financial markets closed on Friday risked throwing the global economy into turmoil. Not only would the global trade war instigated by Trump be rekindled at dangerous levels, but import taxes being heaped on top of the 30% already being levied on Chinese goods could, by the administration’s past statements, cause trade to break down between the U.S. and China.

While Trump’s wording was definitive, he is also famously known for backing down from threats, such that some investors began engaging in what The Financial Times called the “TACO” trade, which stands for “Trump Always Chickens Out.” The prospect of tariffs this large could compound the president’s own political worries inside the U.S., potentially pushing up inflation at a moment when the job market appears fragile and the drags from a government shutdown are starting to compound into layoffs of federal workers.

The president also said that the U.S. government would respond to China by putting its own export controls “on any and all critical software” from American firms.

It’s possible that this could amount to either posturing by the United States for eventual negotiations or a retaliatory step that could foster new fears about the stability of the global economy.

The United States and China have been jostling for advantage in trade talks, after the import taxes announced earlier this year triggered a trade war between the world’s two largest economies. Both nations agreed to ratchet down tariffs after negotiations in Switzerland and the United Kingdom, yet tensions remain as China has continued to restrict America’s access to the difficult-to-mine rare earths needed for a wide array of U.S. technologies.

Trump did not formally cancel the meeting with Xi, so much as indicating that it might not happen as part of a trip at the end of the month in Asia. The trip was scheduled to include a stop in Malaysia, which is hosting the Association of Southeast Asian Nations summit; a stop in Japan; and a visit to South Korea, where he was slated to meet with Xi ahead of the Asia-Pacific Economic Cooperation summit.

“I was to meet President Xi in two weeks, at APEC, in South Korea, but now there seems to be no reason to do so,” Trump posted.

Trump’s threat shattered a monthslong calm on Wall Street, and the S&P 500 tumbled 2.7% on worries about the rising tensions between the world’s largest economies. It was the market’s worst day since April when the president last bandied about import taxes this high. Still, the stock market closed before the president spelled out the terms of his threat.

China’s new restrictions

On Thursday, the Chinese government restricted access to the rare earths ahead of the scheduled Trump-Xi meeting. Beijing would require foreign companies to get special approval for shipping the metallic elements abroad. It also announced permitting requirements on exports of technologies used in the mining, smelting and recycling of rare earths, adding that any export requests for products used in military goods would be rejected.

Trump said that China is “becoming very hostile” and that it’s holding the world “captive” by restricting access to the metals and magnets used in electronics, computer chips, lasers, jet engines and other technologies.

The Chinese Embassy in Washington did not immediately respond to an Associated Press request for comment.

Sun Yun, director of the China program at the Stimson Center, said Beijing reacted to U.S. sanctions of Chinese companies this week and the upcoming port fees targeting China-related vessels but said there’s room for deescalation to keep the leaders’ meeting alive. “It is a disproportional reaction,” Sun said. “Beijing feels that deescalation will have to be mutual as well. There is room for maneuver, especially on the implementation.”

The U.S. president said the move on rare earths was “especially inappropriate” given the announcement of a ceasefire between Israel and Hamas in Gaza so that the remaining hostages from Hamas’ Oct. 7, 2023, attack can be released. He raised the possibility without evidence that China was trying to steal the moment from him for his role in the ceasefire, saying on social media, “I wonder if that timing was coincidental?”

There is already a backlog of export license applications from Beijing’s previous round of export controls on rare earth elements, and the latest announcements “add further complexity to the global supply chain of rare earth elements,” the European Union Chamber of Commerce in China said in a statement.

Gracelin Baskaran, director of the Critical Minerals Security Program at the Center for Strategic and International Studies in Washington, D.C., said China signaled it is open to negotiations, but it also holds leverage because to dominates the market for rare earths with 70% of the mining and 93% of the production of permanent magnets made from them that are crucial to high-tech products and the military.

“These restrictions undermine our ability to develop our industrial base at a time when we need to. And then second, it’s a powerful negotiating tool,” she said. And these restrictions can hurt efforts to strengthen the U.S. military in the midst of global tensions because rare earths are needed.

Trump’s trade war

The outbreak of a tariff-fueled trade war between the U.S. and China initially caused the world economy to shudder over the possibility of global commerce collapsing. Trump imposed tariffs totaling 145% on Chinese goods, with China responding with import taxes of 125% on American products.

The taxes were so high as to effectively be a blockade on trade between the countries. That led to negotiations that reduced the tariff charged by the U.S. government to 30% and the rate imposed by China to 10% so that further talks could take place. The relief those lower rates provided could now disappear with the new import taxes Trump threatened, likely raising the stakes not only of whether Trump and Xi meet but how any disputes are resolved.

Differences continue over America’s access to rare earths from China, U.S. restrictions on China’s ability to import advanced computer chips, sales of American-grown soybeans and a series of tit-for-tat port fees being levied by both countries starting on Tuesday.

Nebraska Republican Rep. Don Bacon said “China has not been a fair-trade partner for years,” but the Trump administration should have anticipated China’s restrictions on rare earths and refusal to buy American soybeans in response to the tariffs.

How analysts see moves by U.S. and China

Wendy Cutler, senior vice president of the Asia Society Policy Institute, said Trump’s post shows the fragility of the détente between the two countries and it’s unclear whether the two sides are willing to de-escalate to save the bilateral meeting.

Cole McFaul, a research fellow at Georgetown University’s Center for Security and Emerging Technology, said that Trump appeared in his post to be readying for talks on the possibility that China had overplayed its hand. By contrast, China sees itself as having come out ahead when the two countries have engaged in talks.

“From Beijing’s point of view, they’re in a moment where they’re feeling a lot of confidence about their ability to handle the Trump administration,” McFaul said. “Their impression is they’ve come to the negotiating table and extracted key concessions.”

Craig Singleton, senior director of the China program at the Foundation for Defense of Democracies, a think tank, said Trump’s post could “mark the beginning of the end of the tariff truce” that had lowered the tax rates charged by both countries.

It’s still unclear how Trump intends to follow through on his threats and how China plans to respond.

“But the risk is clear: Mutually assured disruption between the two sides is no longer a metaphor,” Singleton said. “Both sides are reaching for their economic weapons at the same time, and neither seems willing to back down.”

Boak and Tang write for the Associated Press. AP writers Stan Choe in New York and Josh Funk in Omaha, Neb., contributed to the report.

The US president’s announcement comes after China pledged to impose restrictions on the export of rare earth minerals.

United States President Donald Trump has suggested he may scrap a planned meeting with his Chinese counterpart Xi Jinping this month over questions of technology and trade.

Trump and Xi had been expected to meet on the sidelines of the Asia-Pacific Economic Cooperation (APEC) summit at the end of this month, in an attempt to lower economic tensions.

But in a social media post on Friday, Trump criticised China over the new controls it announced on the export of rare earth metals. The US president also threatened China with the possibility of steep tariffs.

“I have not spoken to President Xi because there was no reason to do so. This was a real surprise, not only to me, but to all the Leaders of the Free World,” Trump said. “I was to meet President Xi in two weeks, at APEC, in South Korea, but now there seems to be no reason to do so.”

The relationship between Trump and his Chinese counterpart has been rocky, and both have imposed new measures aimed at countering each other in areas where they are competing for influence, such as technological development.

Rare earth metals are vital for such development, and China leads the world in refining the metals for use in devices like computers, smart phones and military weaponry.

On Thursday, China unveiled a suite of new restrictions on the exports of those products. Out of the 17 elements considered rare earth metals, China will now require export licences for 12 of them.

Technologies involved in the processing of the metals will also face new licensing requirements. Among the measures is also a special approval process for foreign companies shipping metallic elements abroad.

China described the new rules as necessary to protect its national security interests. But in his lengthy post to Truth Social, Trump slammed the country for seeking to corner the rare-earths industry.

“They are becoming very hostile, and sending letters to Countries throughout the World, that they want to impose Export Controls on each and every element of production having to do with Rare Earths, and virtually anything else they can think of, even if it’s not manufactured in China,” Trump wrote.

The Republican president warned he would counter with protectionist moves and seek to restrict China from accessing industries the US holds sway over.

“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,” Trump said.

“But the U.S. has Monopoly positions also, much stronger and more far reaching than China’s. I have just not chosen to use them, there was never a reason for me to do so — UNTIL NOW!”

The Trump administration had previously imposed massive tariffs on China, one of the US’s largest trading partners.

But those tariffs were eventually eased after the two countries came to an agreement for a 90-day pause that is set to expire around November 9.

The US has previously taken aggressive steps aimed at hobbling China’s tech sector, which it views as a key competitor to its own.

“Our relationship with China over the past six months has been a very good one, thereby making this move on Trade an even more surprising one,” Trump said. “I have always felt that they’ve been lying in wait, and now, as usual, I have been proven right!”

Oct. 10 (UPI) — China said Friday it will start charging U.S. ships docking at its ports in a direct response to the Trump administration imposing the same fee on Chinese vessels entering U.S. shores.

The Chinese Ministry of Transportation announced beginning Tuesday it will charge about $56 per ton for American vessels entering China’s ports in a reciprocal response to ship fees imposed by the United States of about the same at $50 per ship via China.

In addition, China stated it will match the United States by increasing fees over time through April 2028.

In the short term, however, this will “result in an increase in costs for U.S. consumers, a decrease in profits for shippers, and a small decline in demand for exports to the U.S. in certain category,” according to Michael Hart, president of the American Chamber of Commerce in China.

The U.S. and Chinese shipping fees are set to take effect the same day.

On Friday, Beijing said the initial U.S. ship fees imposed by the Trump White House “seriously violate” global trading principles and “seriously damages” China-U.S maritime trade.

“China can give as good as it gets and has demonstrated a willingness to take direct action,” Peter Alexander, managing director of Z-Ben Advisors in Shanghai, told CNBC.

China’s Transportation Ministry said fees will apply to ships owed by American citizens, businesses, organizations and other entities under the U.S. flag holding a 25% ownership stake or more.

Alexander suggested that U.S. President Donald Trump continues to “underestimate China and this needs to stop” and was “just more tit-for-tat negotiation tactics.”

“There seems to be little consideration given to second and third-order effects of policy choices,” he added.

It arrived as communist China and President Xi Jingping seeks to leverage control over export of rare Earth minerals and Trump’s tax-like tariff policies.

“Have there been any lessons learned by the Americans over the past six months?” Alexander questioned. “It certainly doesn’t seem so,” he added.