US President Donald Trump has criticized China’s decision to halt American soybean purchases, describing it as an “economically hostile act.” In response, Trump suggested that the US could stop buying Chinese cooking oil, among other trade retaliations.
On his social media platform, Trump stated, “We are considering terminating business with China having to do with Cooking Oil, and other elements of Trade, as retribution.” This statement came after Trump appeared to downplay tensions between the US and China, saying, “We have a fair relationship with China, and I think it’ll be fine. And if it’s not, that’s okay too.”
The trade tensions between the world’s two largest economies have escalated during Trump’s presidency, with both countries imposing significant duties on each other’s goods. US Treasury Secretary Scott Bessent recently accused China of seeking to harm the global economy through its new export controls on rare earths, a strategic sector.
Trump emphasized the need for caution in dealings with China, citing the country’s tendency to “take advantage of people.” He also expressed concern about the impact of China’s halted soybean purchases on US farmers. The US has significantly increased its imports of animal fats, greases, and processed oils, including cooking oil, in recent years.
The tensions between the US and China remain unresolved, despite a temporary de-escalation. After China imposed fresh controls on rare earth exports, Trump announced plans to impose an additional 100% tariff on Chinese goods starting November 1. The US Trade Representative indicated that this timeline could be accelerated, depending on China’s actions.
China is the world’s leading producer of rare earth minerals, which are crucial for the auto, electronic, and defense industries. The US has threatened to scrap a planned meeting between Trump and Chinese President Xi Jinping at the Asia-Pacific Economic Cooperation summit later this month. China has accused the US of “double standards” and has vowed to “fight to the end” in a trade war. The ongoing trade tensions between the two countries continue to have significant implications for the global economy.