US Calls For India's Support Against China's Rare Earth Restrictions

China's Rare Earth Metals Export Restrictions

China recently restricted the export of rare earth metals. The materials are essential to global industries and are predominantly located in China. Foreign companies are now obligated to apply for special permits before importing them under the new policy. In the view of US Treasury Secretary Scott Besant, the move is directly challenging the global economy.

He explained that China is aiming at international supply systems. "We are not going to let Beijing have its way. We already are coordinating with our allies. We need India and Europe on our side in order to take on China," Besant said in an interview with Fox News. He continued that while the US is aiming for world stability, China is waging economic war.

India's Strategic Role and the US Position

While the US has condemned India for buying Russian oil, it is now seeking India's support in countering China's move. India, too, is seeking European support to curtail China's dominance of rare earth minerals. Besant indicated that it takes an international collective effort to counter Beijing's policies.

US Response: Tariffs and Trade Restrictions

US President Donald Trump responded swiftly to the restrictions of China. He imposed a 100% tariff on Chinese products, which would take effect from November 1 or sooner. Trump also announced fresh restrictions on important software exports of the US to China.

These actions represent a new phase in the existing trade war between the two nations. The two nations have already imposed extra charges on the shipping and trade activities of each other.

Suspension of Cooking Oil Exports to China

Trump also indicated that the US is planning to stop cooking oil exports to China. He blamed Beijing for failing to buy American soybeans from farmers, describing it as a deliberate action aimed at heightening economic tensions. He claimed that the US no longer requires China's cooking oil exports.

Condemnation of the BRICS Alliance

Trump also attacked the BRICS alliance for allegedly trying to dismantle the US dollar. He threatened that further tariffs may be levied on countries wishing to join BRICS. The alliance is already exhibiting signs of instability and disintegration, according to him.