In a moment that felt part diplomacy, part poker game, former US President Donald Trump hinted on Monday that he may soon visit China – and that, if pushed, he’s still holding powerful “cards” that could severely impact the Chinese economy.
Speaking from Washington while meeting South Korean President Lee Jae Myung, Trump reflected on recent conversations with Chinese President Xi Jinping, saying, “At some point, probably during this year or shortly thereafter, we’ll go to China.”
He added optimistically, “We’re going to have a great relationship with China.”
But the optimism came with a warning.
“They have some cards. We have incredible cards,” Trump said. “But I don’t want to play those cards. If I played those cards, that would destroy China.”
This rare admission gives a glimpse into the strategic tug-of-war between the world’s two largest economies. At the center of the latest dispute is a crucial but often overlooked resource: rare earths – the metallic elements used in everything from electric cars to smartphones to missile systems.
The two nations have been locked in an on-and-off trade war since earlier this year. At its height, both sides were imposing triple-digit tariffs, causing chaos across supply chains worldwide. Importers stalled shipments, and businesses braced for long-term impacts.
In a temporary step back from the brink, both Washington and Beijing recently agreed to scale down those tariffs – to 30% on US imports and 10% on China’s. Yet, as of Monday, Trump made it clear that if China fails to deliver, especially on exporting magnets crucial to American industries, tariffs could surge back up — possibly to 200%.
“They have to give us magnets,” Trump emphasized. “If they don’t… we have to charge them 200 per cent.”
Despite the tough talk, Trump remained confident: “We’re not going to have a problem, I don’t think, with that.”
China currently dominates the global rare earth market. This dominance has long given Beijing strategic leverage, especially since these materials are irreplaceable in technologies from defense systems to clean energy.
Although the current truce has paused further tariff hikes until November 10, both sides remain cautious. Washington has previously accused China of dragging its feet on export licenses, while China remains wary of further sanctions.
For now, it’s a fragile calm. What happens next may hinge not only on diplomacy — but on whether either side decides to play their “cards.”
