High tensions over China’s new rare earth export controls will form the backdrop for a “big meeting” between President Donald Trump and President Xi Jinping this Thursday.
The two leaders will meet in South Korea, on the sidelines of the APEC summit. Speaking from Tokyo, President Trump was optimistic, saying, “I think it’s going to work out very well.”
The trade war flared up again after Beijing’s move on rare earths, a critical resource for US tech and defense. The US retaliated with a threat of 100% tariffs on Chinese goods, effective November 1.
The situation has been further aggravated by new US port fees on Chinese ships, which in turn sparked a wave of mutual countermeasures. This ends a recent period of relative calm.
Despite the friction, Trump predicted a “fantastic meeting” that would be “great for everybody.”
This diplomatic engagement is the key event of Trump’s Asia trip. His time in the region, including a stop in Tokyo to meet with business leaders and Japan’s new PM, has been overwhelmingly focused on discussing trade and America’s economic influence.
Trump, Xi to Meet Amid High Tensions Over Rare Earths Controls
