Wall Street falls as US president raises prospect of another trade war and suggests meeting with Xi may not happen
Donald Trump has threatened again to impose “massive” US tariffs on China, accusing Beijing of “very hostile” moves to restrict exports of rare earths needed for American industry.
Wall Street fell sharply after the US president reignited public tensions with the Chinese government, and raised the prospect of another acrimonious trade war between the world’s two largest economies.
Over the summer, relations had improved between Washington and Beijing, and Trump agreed to drastically reduce steep tariffs he imposed on China earlier this year, following negotiations between the two countries.
“I never thought it would come to this but perhaps, as with all things, the time has come,” Trump wrote on his Truth Social website, claiming: “Ultimately, though potentially painful, it will be a very good thing, in the end, for the U.S.A.
