President Donald Trump said Friday that he’s placing an additional 100% tax on Chinese imports starting on Nov. 1 or sooner, potentially escalating tariff rates close to levels that in April fanned fears of a global recession.
The president said on his social media site that he is imposing these new tariffs because of export controls placed on rare earth elements by China. The new tariffs built on an earlier post Friday on Truth Social in which Trump said that “there seems to be no reason” to meet with Chinese leader Xi Jinping as part of an upcoming trip to South Korea.
Trump said that “starting November 1st, 2025 (or sooner, depending on any further actions or changes taken by China), the United States of America will impose a Tariff of 100% on China, over and above any Tariff that they are currently paying.”
Trump did not formally cancel the meeting with Xi, so much as indicating that it might not happen as part of a trip at the end of the month in Asia.
The trip was scheduled to include a stop in Malaysia, which is hosting the Association of Southeast Asian Nations summit; a stop in Japan; and a visit to South Korea, where he was slated to meet with Xi ahead of the Asia-Pacific Economic Cooperation summit.
While Trump's wording was definitive, he is also famously known for backing down from threats. Some investors began engaging in what The Financial Times called the “TACO” trade, which stands for “Trump Always Chickens Out.”
