US markets reel as Trump threatens to pull out of meeting with China's Xi
US markets reel as Trump threatens to pull out of meeting with China's Xi
President Donald Trump has threatened to pull out of an expected meeting with President Xi Jinping of China after Beijing tightened its rules for exports of rare earths.
In a post on social media, Trump said he now saw "no reason" to meet with President Xi later this month, accusing China of "becoming very hostile" and trying to hold the world "captive".
He also threatened a "massive" increase in tariffs on Chinese goods, raising fears about further escalation of trade tensions between the two economic giants.
Financial markets dropped in the wake of the remarks, with the S&P 500 down 1.8% in mid-afternoon trade in New York.
China dominates production of rare earths and certain other key materials, which are key components in cars, smartphones and many other items.
The last time Beijing tightened export controls - after Trump raised tariffs on Chinese goods early this year - there was an outcry from many US firms reliant on the materials. Carmaker Ford even had to temporarily pause production.
In addition to tightening rules for rare earth exports, China has opened a monopoly investigation into the US tech firm Qualcomm that could stall its acquisition of another chipmaker.
Although Qualcomm is based in the US, a significant portion of its business is concentrated in China.
Maximise your drive time with the clarity and power of the Morel Maximo 6 MK11 car audio system.
- Solves the problem of poor sound quality, cutting through road noise and delivering crisp, detailed highs and deep, rumbling lows
- Tackles the issue of limited bass response, providing a more immersive listening experience for passengers
- Addresses the challenge of installation complexity, with a straightforward setup process that requires minimal wiring and no specialist tools
Upgrade your car's audio system today and enjoy a more enjoyable drive.
