US accuses China of trying to undermine global economy

In his opinion, the introduction of restrictions less than three weeks before the expected meeting between US President Donald Trump and Chinese leader Xi Jinping in South Korea indicates problems within the Chinese economy itself.

Bessent said that it was a sign of how weak their economy was and that they wanted to drag everyone else down with them. He suggested that perhaps they had some kind of Leninist business approach, according to which harming their customers was considered a good idea, but noted that as the world’s largest supplier, if they sought to slow down the global economy, they would be the first to suffer.

He also noted that China is in a state of recession, if not depression, and is trying to get out of it through exports.

The Secretary concludes that the problem is that such actions only worsen their position in the world.

At the same time, China has stated that it is ready to fight to the end in the trade war with the United States.

"If you wish to fight, we shall fight to the end; if you wish to negotiate, our door remains open," Barron's quotes an unnamed representative of the Chinese Ministry of Commerce.

Trade tensions between US and China

The United States and China recently reached an agreement on a so-called tariff truce - the parties agreed to gradually lift the increased tariffs that threatened to effectively halt mutual trade.

However, on October 9, Beijing announced the introduction of strict controls on exports of rare earth minerals and technologies related to their extraction and processing.

In response, on October 11, the US announced the introduction of 100% tariffs on Chinese goods and tighter export controls on all critical software. US President Donald Trump called these measures a response to China's extremely aggressive stance. The new restrictions will take effect on November 1, 2025, or even earlier.