• Trump threatens to cancel a meeting with Xi Jinping due to China's rare earth export controls.
• A possible increase of tariffs on Chinese goods to 100% is being considered.
• The announcement triggered significant stock market sell-offs.

U.S. President Donald Trump announced on Friday that he may cancel an upcoming meeting with Chinese President Xi Jinping due to what he termed China's "very hostile" trade actions, particularly after Beijing imposed new restrictions on the export of rare earth minerals. Trump's statements came via a post on Truth Social, wherein he expressed surprise at China's recent actions, claiming they would "clog markets" and harm global production, a sentiment echoed across multiple news outlets reporting the growing trade tensions due to these policies, according to SCMP, Reuters, and Al Jazeera.

Trump warned of a potential "massive increase" in tariffs on Chinese imports, citing that the US could impose tariffs of up to 100% on Chinese products starting from November 1. His remarks came in light of China's comprehensive new export controls, which require licenses for many rare earth elements critical to high-tech manufacturing. Trump characterized these measures as part of a broader strategy by China to dominate global production, which he adamantly opposed, according to The Hill, India Times, and Channel News Asia.

The reaction from the financial markets was swift, with significant sell-offs observed across major U.S. stock indices following Trump's declarations. The Dow Jones Industrial Average and Nasdaq both experienced sharp declines, intensifying worries over a renewed trade war between the U.S. and China, as noted by ABC News and Business Insider.

Trump's assertion that there is "no way" for China to hold the world "captive" reflects a growing tension that has escalated in the wake of China's economic maneuvers. Highlighting a perceived betrayal, Trump noted that he had found no reason to maintain communication with Xi as relations sour, signaling a potential shift in U.S.-China diplomatic dynamics, as reiterated by TRT Global and India Times.