Fri, 10 Oct 2025

Fri, 10 Oct 2025 Trump threatens to impose additional 100% tariff on China

The S&P 500 closed down 2.7%, its steepest fall since April, after the US president hit out at China.

* US President Donald Trump has announced that he will impose an additional 100% tariff on imports from China starting next month.
* The US will also put export controls on critical software.
* Financial markets have dropped, with the S&P 500 closing down 2.7%, its steepest fall since April.
* China dominates production of rare earths and certain other key materials.
* Beijing has tightened rules for exports of rare earths, accusing the US of "becoming very hostile".
* The move has sparked concern among US firms reliant on these materials, with carmaker Ford having to temporarily pause production in the past.
* China is also investigating US tech firm Qualcomm over a potential monopoly.
* The US and China have been in a fragile trade détente since May, but tensions are rising again.
* Experts say Xi Jinping's recent actions are a bid to shape upcoming talks and seize the initiative.
* China expert Jonathan Czin says the Trump administration is playing a "game of whack-a-mole" and dealing with issues as they come up.
* The US has limited options in response, but some experts believe negotiations could still be imminent.
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