U.S. Trade Rep. Jamieson Greer: New 100% tariff on China depends on Beijing's next move

Trade Tensions and Tariffs - The US is considering implementing an additional 100% tariff against China in response to China's announcement it would expand rare earth export controls [1] - The US previously had tariffs of about 140% on China, which proved challenging for the Chinese economy [15] - The US suspended massive 145% tariffs in exchange for China suspending controls on rare earth minerals [3] - The agreement was to keep tariffs low if China kept rare earth flowing, but China is now saying they will control more rare earths and downstream products [14] Rare Earth Minerals and Export Controls - China is expanding controls on rare earth minerals, impacting a broad range of products, even those containing only a tiny 01% of rare earth materials [1][5] - China's export controls on rare earth minerals are seen as disproportionate to any measures taken by the US [4] - The US views China's rare earth mineral controls as an attempt to have veto power over the world's high-tech supply chains [9] US-China Trade Relationship - The US aims for a more balanced trade relationship with China, reducing the trade deficit built up over years due to unfair trading practices [18] - The US believes China wants unfettered access to the US market while cutting off US access to their market, which the US is no longer willing to accept [19] - The US is seeking a good relationship with China, but needs them to change their approach to trade [17] Negotiation and Potential Outcomes - The Chinese have started to qualify some of their statements regarding rare earth export controls, indicating they may have overstepped [7][13] - Senior staff level discussions have taken place between the US and China in Washington [10] - The imposition of 100% tariffs depends on China's actions [14]