LeadStory

What is causing the U.S.-China trade war?

Asked 1 day ago

Answer

The U.S.-China trade war is driven by disputes over tariffs, rare earth mineral exports, and broader issues like trade imbalances and protectionism. The U.S. imposed high tariffs on Chinese goods, prompting China to restrict rare earth exports. Both sides seek concessions, but structural issues such as industrial policy and trade deficits remain unresolved.

Now Playing

Reuters

China and ASEAN, hit by U.S. tariffs, sign upgraded free trade pact

Reuters ยท Current
Reuters
Reuters
Current
  • China and ASEAN signed an upgraded free trade agreement to strengthen economic ties.
  • The new pact includes provisions for digital and green economies. 1m 6s
  • The agreement was signed during an ASEAN summit in Kuala Lumpur. 1m 13s
  • Negotiations began in November 2022 and concluded after the US imposed new tariffs. 1m 20s
  • The US and China extended a trade truce during the summit, with further talks planned. 1m 40s
EconomyForeign Affairs

References

China and ASEAN, hit by U.S. tariffs, sign upgraded free trade pact
Icon
Reuters
2 days ago
China and ASEAN, hit by U.S. tariffs, sign upgraded free trade pact

China seeks to counter hefty import tariffs imposed by the U.S., emphasizing the risks of protectionism and unilateral trade measures.

What to expect from Trump's meeting with Xi
Icon
CBS News
2 days ago
What to expect from Trump's meeting with Xi

Tensions escalated when China announced new restrictions on rare earth exports, and the U.S. responded with 100% tariffs on Chinese imports.

China urges free trade amid U.S. tariff talks at ASEAN summit
Icon
Reuters
3 days ago
China urges free trade amid U.S. tariff talks at ASEAN summit

China calls out U.S. tariffs as protectionism and urges support for free trade during regional talks.

U.S. and China reach preliminary trade deal on rare earths, tariffs
Icon
Fox News
3 days ago
U.S. and China reach preliminary trade deal on rare earths, tariffs

China faces steep new tariffs from the U.S. and threatens to restrict U.S. access to rare minerals, prompting negotiations to avert further escalation.

Trump aims to clinch trade deal with China's Xi during Asia trip
Icon
Reuters
4 days ago
Trump aims to clinch trade deal with China's Xi during Asia trip

Both sides have raised tariffs on each other's exports and threatened to halt trade in critical minerals and technologies.

What Are People Asking?