00:00Here we are again. Just a few months ago, we were seeing that tit-for-tat retaliation of tariffs between China and the U.S.,
00:06all focused on critical minerals. And here we are now, about nine months or so, into Donald Trump's second presidency.
00:14And once again, this trade war seems to be bubbling up once again.
00:18Now, this retaliatory tariff that Donald Trump has threatened to put into place on November 1st,
00:22the additional 100 percent on top of the tariffs that are already existing on China,
00:28that is in response to a revelation that came from China in the last couple of hours, in the last couple of days,
00:34that they would effectively be curbing exports of critical rare minerals.
00:39These are things that are used in everything from chips that are in your phone, your laptop,
00:43but they also are in many more important things like fighter jets and missiles as well.
00:47And it's really those components that the U.S. is worried about.
00:51But China tends to be the biggest producer of some of these minerals that are essential in these big products.
00:58So they believe they have some kind of leverage over the U.S.
01:01And indeed, the last time we were in this situation, it appeared that they did indeed have the upper hand,
01:05because ultimately the U.S. backed off on those tariffs, but they kind of brokered a fragile truce.
01:10Well, now, once again, this has reed its head.
01:12Donald Trump threatening to cancel that planned meeting at APEC in Asia with President Xi.
01:19He said that it seems to be no reason to have that meeting anymore.
01:22But he kind of walked out back slightly in the Oval Office just a few moments ago when we were talking to him.
01:27He basically is leaving some wiggle room here for negotiations and said that is why he set the deadline for these tariffs on November 1st.
01:33So hopefully they can get some kind of consensus and get some thinking on these new rare earth elements
01:39and kind of make a deal on them as it were.
Comments