🇨🇳🇺🇸Trade truce between the USA and China is at risk of collapse due to rare earth metals
China has refused to comply with the agreement on the expedited issuance of export licenses for rare earth elements — crucial for the automotive industry and chip production.
▶️The parties had previously agreed: the USA will temporarily suspend tariff escalation for 90 days, China will simplify exports.
▶️After the USA's ban on AI chip supplies to Huawei, Beijing reassessed its position.
▶️Donald Trump accused China of completely violating the agreement.
▶️In response, the USA has strengthened export controls, including on the C919 aircraft project.
▶️New tariffs on pharmaceuticals are looming, and possibly the revocation of student visas from China.