Could China’s rare earth supplies be vital bargaining chip in US trade war? | World News, The Indian Express

Could China’s rare earth supplies be vital bargaining chip in US trade war? | World News, The Indian Express

By Express Web Desk |New Delhi |Published: May 30, 2019 4:30:02 pm

Could China’s rare earth supplies be vital bargaining chip in US trade war?

There are increasing concerns within the international community that China might use its dominant position as a supplier of rare earths for leverage in the trade war.

China, which reported unexpectedly weak growth in retail sales and industrial output on Wednesday, also said on Friday that the impact of trade frictions on its economy was “controllable”.

China and the United States, the world’s top two economies, have been crossing swords with each other for a while now as trade talks have apparently stalled even as US President Donald Trump has hiked tariffs on USD 200 billion in Chinese goods earlier this month and blacklisted telecoms giant Huawei. Beijing has blamed the US of ‘naked terrorism’ as it ramps us its rhetoric on the trade war.