Analysis: Trump Posts Bombshell Message—U.S.-China Relations on the Brink of Collapse

Trade tensions escalate over U.S. tariffs with China

[People News]The Chinese Communist Party (CCP) recently made a series of moves, including expanding export controls on rare earth elements, angering the U.S. government and Congress. On Friday (October 10), President Trump suddenly released a bombshell post on social media condemning the CCP’s actions as “insidious and hostile.” The president stated bluntly that he had never expected things to reach this point. The U.S. is seriously considering various countermeasures, including imposing a 100% tariff on Chinese goods, and has already cut off the CCP’s access to certain U.S. technologies.

The CCP’s Recent Frequent Moves to Gain Leverage Are Seen as a Miscalculation

On Thursday (October 9), the CCP’s Ministry of Commerce suddenly announced a major expansion of rare earth export controls, adding five rare earth elements—holmium, erbium, thulium, europium, and ytterbium—and their related materials to the control list. It also imposed strict reviews on foreign manufacturers using Chinese rare earths, even requiring that transactions not involving Chinese companies obtain approval from Beijing.

The Ministry of Commerce also stated that starting December 1, products containing more than 0.1% of Chinese-origin rare earths, or produced using Chinese extraction, refining, magnet manufacturing, or recycling technologies, must obtain a license before export.

After adding controls on the five new rare earth elements and related materials, a total of 12 metals are now subject to export restrictions. The CCP controls about 70% of the world’s rare earth mine supply, which is crucial for high-tech industries such as automobiles, defense, and semiconductors.

On Friday, the CCP announced an antitrust investigation into U.S. chip giant Qualcomm. On the same day, China’s Ministry of Transport issued a notice that port fees will be charged on ships owned, operated, built, or flagged by the United States. Some analysts believe this is part of Beijing’s strategy to gain more bargaining chips after tightening rare earth export restrictions.

These actions infuriated President Trump. In his post on Friday, he said the CCP had long planned to monopolize the rare earth sector and then use export restrictions to hold the world hostage—something that should never be allowed to happen. He added that given the CCP’s hostile actions, it now seems there is no reason to meet with CCP leader Xi Jinping at the APEC summit in South Korea.

Craig Singleton, Senior Fellow for China Studies at the Foundation for Defense of Democracies, said on social media platform X that the CCP’s expanded export controls “look like a miscalculation—Beijing sees them as leverage, but Trump sees them as betrayal.”

U.S. House Committee on the CCP: The CCP Is Declaring an Economic War

The U.S. House Select Committee on the CCP stated that the CCP’s expansion of rare earth export restrictions is “a direct attack on U.S. economic and national security interests. This move constitutes an act of economic warfare. The Chinese Communist Party is weaponizing critical minerals to control global supply chains and weaken American industry.”

“We stand with President Trump to defend America’s interests and ensure the security of our supply chains,” the committee said.

Are U.S.-China Relations Near Collapse?

Trump hinted at a major shift in U.S.-China relations in his Friday post. He said that for the past six months, U.S.-China relations had been good, but the CCP’s latest move was shocking and would “clog markets,” creating difficulties for nearly every country in the world, including China.

“I never thought it would come to this, but perhaps, as with all things, the time has come. Though it may bring pain, in the end it will be a very good thing for the United States,” Trump wrote on Truth Social. “One of the policies we are currently considering is a significant increase in tariffs on Chinese imports. Many other countermeasures are also under serious consideration.”

Bloomberg quoted former U.S. trade negotiator Wendy Cutler as saying, “These back-and-forth moves reveal the fragility of the bilateral relationship.”

Trump stated that while China holds monopolies in certain areas, the U.S. does as well—and America’s are stronger. A few hours later, Trump announced in another post that starting November 1, the U.S. would impose a 100% tariff on Chinese goods and implement export controls on all critical software.

“Trump’s statement shows that even a deal-focused White House has its limits—and China may have just crossed the line,” said Singleton, the FDD researcher. “Trump’s post may mark the end of the tariff truce.”

Trump’s bombshell post on Friday drew wide attention. Ryan Hass, Director of the China Center and Chair in Taiwan Studies at the Brookings Institution, said on X that while there appear to be plenty of activities and market signals between the two countries, the broader trend is that both are pursuing strategies of reduced dependence and mutual decoupling.

Hass also said that during Trump’s presidency, reducing reliance on China became a prominent feature of U.S. foreign policy, prompting Trump to focus on issues like “buying Greenland” and mineral extraction in Ukraine.

“I expect more turbulence in U.S.-China relations before Trump and Xi arrive in South Korea for the APEC summit,” he said, adding that he does not expect either side to make major concessions. “Even if the two leaders do meet in South Korea, I wouldn’t bet on the meeting yielding significant results.”

Regarding the CCP’s newly announced export controls, Hass said this represents the new reality of U.S.-China relations. He added that more broadly, the move shows Beijing is not yet prepared to negotiate with Washington on major outcomes that might be announced during a possible Xi-Trump meeting later this month. The summit will set the tone and direction. Beijing hopes it will bring more stability and predictability.

(Source: The Dajiyuan)△