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China Warns U.S. Against Tariff Escalation Amid Rare Earths Dispute
China has vowed not to back down in the face of U.S. tariff threats, warning that it will take “resolute countermeasures” if Washington proceeds with new import taxes, the Chinese Commerce Ministry said on Sunday.
“China’s stance is consistent,” the ministry said in an online statement. “We do not want a tariff war, but we are not afraid of one.”
The warning came two days after U.S. President Donald Trump threatened to impose 100 percent tariffs on Chinese imports starting November 1. The move was reportedly a response to Beijing’s new restrictions on the export of rare earth elements — critical minerals used in technologies ranging from electric vehicles and smartphones to radar systems and jet engines.
In a post presented as a Q&A with an unnamed ministry spokesperson, Beijing urged Washington to resolve trade differences “through dialogue, not coercion.” The ministry cautioned that “frequently resorting to the threat of high tariffs is not the correct way to get along with China,” adding that if the U.S. “obstinately insists on its practice,” China will act to defend its legitimate interests.
The exchange threatens to reignite a tariff confrontation between the world’s two largest economies and casts doubt over a potential meeting between Trump and Chinese President Xi Jinping. Earlier this year, both nations had briefly imposed tariffs exceeding 100 percent before agreeing to a truce.
Trump accused China of “becoming very hostile” and of “holding the world captive” by limiting access to rare earth metals and magnets. China’s new rules require foreign firms to obtain special approval to export products containing even trace amounts of Chinese-sourced rare earths — minerals essential to both commercial and military applications.
Beijing maintains that the restrictions are aimed at ensuring responsible resource management and protecting national security. The Commerce Ministry said export licenses would continue to be granted for “legitimate civilian uses” but noted that the minerals’ strategic value necessitated tighter oversight.
China dominates the global rare earths market, accounting for nearly 70 percent of global mining and around 90 percent of processing. The country’s control over the supply chain has become a focal point in trade tensions with Washington, as the U.S. seeks to diversify supply sources and reduce dependence on Chinese materials.
The ministry also criticized recent U.S. actions, including the expansion of export controls on Chinese firms and the introduction of new port fees on Chinese vessels set to take effect Tuesday. In retaliation, Beijing announced on Friday that it would impose reciprocal fees on American ships.
With both sides trading new economic blows, the fragile calm in U.S.–China trade relations appears increasingly at risk, raising fears of another round of global market turbulence.
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Britain and Norway Step Up Naval Patrols to Protect Undersea Infrastructure from Russia
Britain and Norway have launched new joint naval patrols aimed at protecting undersea cables from Russia, with a combined fleet of at least 13 warships safeguarding critical infrastructure in the North Atlantic, officials said. The announcement follows discussions in December between UK Prime Minister Keir Starmer and Norwegian Prime Minister Jonas Gahr Støre on defense cooperation.
British Defence Secretary John Healey said on Thursday that the operation was designed to deter Russian submarines suspected of “malign activity” near undersea infrastructure north of the UK. A frigate, aircraft, and hundreds of personnel monitored a Russian attack submarine and two spy vessels during an operation lasting more than a month. Healey said the Russian ships eventually left the area.
His message to Moscow was clear: “We see your activity over our cables and our pipelines, and you should know that any attempt to damage them will not be tolerated and will have serious consequences.” Healey emphasized that while global attention is focused on conflicts in the Middle East, Russia remains the main threat to the UK and its allies.
British officials have highlighted the overlap between Russia’s support for Iran and its ongoing war in Ukraine. Tehran has provided Moscow with Shahed drones, which are now also manufactured in Russia under the designation Geran. Healey said, “Putin would want us to be distracted by the Middle East. We will not take our eyes off Putin.”
The UK has also prepared to seize ships suspected of being part of Russia’s “shadow fleet,” a flotilla of old oil tankers of unclear ownership designed to bypass international sanctions imposed over Moscow’s 2022 invasion of Ukraine. Previously, the UK only assisted France and the US in monitoring such vessels. Healey said, “We are ready to take action” against these ships.
Norwegian Defence Minister Tore O. Sandvik, who signed the joint naval agreement with Healey, said the patrols allow both countries to “defend themselves together.” The deployment builds on a £10 billion (€11 billion) deal for Norway to purchase at least five British-made frigates, which, together with eight British ships, will operate along NATO’s northern flank.
Russian naval activity near UK waters has reportedly risen by 30 percent over the past two years. NATO officials have also warned that attacks on undersea cables are among the “most active threats” to Western infrastructure. Acting Assistant Secretary General for Innovation, Hybrid, and Cyber, James Appathurai, said recent incidents in the Baltic Sea and elsewhere reflect Russia’s long-term undersea program, which includes research ships, submarines, unmanned vehicles, divers, and explosives targeting communications and energy pipelines.
The new UK-Norway patrols signal a heightened focus on securing vital maritime infrastructure amid rising geopolitical tensions and increasing Russian naval operations in European waters.
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