Seoul: U.S. President Donald Trump announced that there is “no reason” to proceed with a scheduled meeting with Chinese President Xi Jinping at the upcoming Asia-Pacific Economic Cooperation (APEC) summit in South Korea. Trump criticized China’s recent decision to impose export controls on rare earths, a move that has significant implications for global markets.
According to Yonhap News Agency, Trump expressed his concerns in a social media post, highlighting potential “countermeasures” his administration might take, including a substantial increase in tariffs on Chinese goods. The anticipated meeting between Trump and Xi, which was expected to address ongoing trade disputes, now faces uncertainty. The decision to move forward with the meeting appears contingent on China’s response to the situation.
Trump emphasized that China has been communicating with various countries about its intention to impose export controls on rare earth elements, crucial components for electronics, defense, and consumer tech products. He warned that such measures could disrupt global markets and negatively impact many countries, including China itself.
The U.S. and other nations are particularly sensitive to China’s rare earth restrictions due to their critical role in manufacturing. Trump mentioned that his administration has received feedback from other countries expressing strong disapproval of China’s actions. He noted the unexpected nature of China’s trade move, given the previously positive relationship between the two nations over the past six months.
In response to China’s export controls, Trump indicated that the U.S. is considering several countermeasures, including a significant increase in tariffs on Chinese imports. He stated that “many other countermeasures” are also under consideration to address the situation.
Wendy Cutler, senior vice president at the Asia Society Policy Institute, commented on the situation, expressing uncertainty about whether Washington and Beijing are willing to de-escalate tensions to preserve the meeting. She noted the potential disappointment for Seoul, which is hosting the APEC summit for the first time in two decades.
Cutler highlighted the fragility of the emerging detente between the U.S. and China, noting Beijing’s increasingly assertive stance in the bilateral relationship. She suggested that China’s leadership might believe Trump is eager for a meeting, even at the cost of overlooking China’s rare-earth restrictions. However, Trump’s recent statements indicate a willingness to take a firm stance, including the possibility of canceling the meeting with Xi.