US-China trade tensions: In a U-trun, Trump calls Xi Jinping ‘highly respected’

In a notable shift in tone, US President Donald Trump on October 12 praised Chinese President Xi Jinping as “highly respected” and suggested that Washington seeks cooperation with Beijing, not confrontation, despite escalating tensions over rare earth exports and the prospect of steep tariffs.”Don’t worry about China, it will all be fine!” Trump posted on his Truth Social platform. “Highly respected President Xi just had a bad moment. He doesn’t want Depression for his country, and neither do I. The U.S.A. wants to help China, not hurt it!!! President DJT.”

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The statement is a dramatic departure from Trump’s rhetoric just days earlier, when he condemned China’s decision to impose sweeping restrictions on the export of rare earth materials and related technologies. At the time, the President accused Beijing of taking “sinister and hostile” action aimed at destabilising global markets, warning it was an attempt to “hold the world captive”.

China’s Commerce Ministry took a firm stand ad reiterated its stance against tariff threats. “We do not want a tariff war but we are not afraid of one,” the ministry stated, adding that Beijing would take “resolute measures” if the US proceeds with its proposed 100% import duties on Chinese goods, which is scheduled to take effect from November 1.

Rising tensions between the world’s two largest economies centre on China’s move to limit the export of rare earth elements, which are critical material used in advanced technologies, from smartphones to military systems. Citing national security and the potential for foreign military use, Chinese officials stressed that the new regulations are not blanket bans. Export licences would still be granted for “legitimate civilian uses”.

American Vice President JD Vance defended the administration’s stance during an appearance on Fox News, describing China’s dominance over key supply chains as “a national emergency”. He added: “It’s going to be a delicate dance… If they respond in a highly aggressive manner, I guarantee you the president of the United States has far more cards than the People’s Republic of China.”

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The exchange shows growing tensions between the two nations over critical resources and economic dependencies, while Trump’s latest remark seem to reduce the rhetoric, the underlying dispute over trade, technology, and global influence.