China is defiant in its first official response to Trump: We do not want a tariff war, but we are not afraid of it

“China’s position is consistent,” the Commerce Ministry said in a statement posted online. “We don’t want a tariff war, but we’re not afraid of it.”

This is China’s first official comment on Trump’s threat to increase taxes on imports from China by November 1 in response. New Chinese restrictions On the export of rare earth elements, which are vital to a wide range of consumer and military products.

This contradiction threatens to derail a potential meeting between Trump and Chinese leader Xi Jinping End the truce In a trade war in which new tariffs on both sides briefly exceeded 100% in April.

Trump has raised taxes on imports from several US trading partners since taking office in January, seeking concessions. China was one of the few countries that did not back down, relying on its economic influence.

“Repeatedly resorting to the threat of high tariffs is not the right way to get along with China,” the Commerce Department said in its post, which was presented as a series of answers from an unnamed spokesperson to four questions from unidentified media outlets.

The statement called for addressing any concerns through dialogue.

“If the US side stubbornly insists on its practices, China will be sure to resolutely take corresponding measures to protect its legitimate rights and interests,” the post said.

In addition to the 100% tariffs, Trump threatened to impose export controls on what he called “critical software,” without specifying what that meant.

Both sides accuse the other of violating the spirit of the truce by imposing new restrictions on trade.

Trump said in a social media post that China “has become very hostile” and is holding the world captive by restricting access to rare earth minerals and magnets.

The Chinese Ministry of Commerce circular said the United States has imposed several new restrictions in recent weeks, including increasing the number of Chinese companies subject to US export controls.

Regarding rare earths, the ministry said that export licenses would be granted for legitimate civilian uses, noting that the minerals also have military applications.

The new regulations include a requirement that foreign companies obtain Chinese government approval to export items containing rare earths originating in China, regardless of where the products are manufactured.

China represents approximately 70% of the world’s rare earth extraction operations, and controls approximately 90% of its processing operations globally. Access to material is a major point of contention Trade talks between Washington and Beijing.

Important minerals are used in many products, from jet engines, radar systems and electric vehicles to consumer electronics including laptops and phones. China’s export controls have hurt European and other manufacturers, as well as American manufacturers.

The United States is also ignoring Chinese concerns by moving forward with new port fees on Chinese ships that take effect Tuesday, the Commerce Department statement said. China Announced Friday It would impose port fees on American ships in response.

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