China slams US over 130% tariffs, warns of consequences
What's the story
China has slammed the United States for its decision to impose a 100% additional tariff on all Chinese exports. The move, announced by President Donald Trump on Friday, takes the total US tariff on China to an unprecedented 130%. The new tariffs will come into effect from November 1 and are a response to what Trump called "extraordinarily aggressive" new Chinese export controls on rare-earth minerals.
Retaliation
Trump's actions 'severely harmed' Beijing's interests: China
Responding to the tariff hike, China's Ministry of Commerce issued a statement warning that Trump's actions have "severely harmed" Beijing's interests. The statement further said these actions have "seriously undermined the atmosphere of economic and trade talks between the two sides." It also stressed that threatening high tariffs at every turn isn't the right way to engage with China.
Warning
'Will take measures to safeguard rights'
The statement from China's Ministry of Commerce also warned that Beijing will take corresponding measures to safeguard its legitimate rights if the US continues with its actions. It defended the export curbs as being imposed with "prudence and moderation." The ministry also stressed China's willingness to strengthen dialogue on export controls with all countries for global industrial and supply chain security.
Defense
Rare earth export curbs aimed at safeguarding world peace
In defense of its rare earth export control measures, China said they were aimed at safeguarding world peace and regional stability. The country stressed these measures are necessary given the military applications of medium and heavy rare earth metals, as well as the current turbulent global situation with frequent military conflicts. However, it clarified that recent curbs on rare earth exports don't mean a ban but that licenses would be granted for compliant applications.