US Officials Slam China's "Unreliable" Trade Tactics Amid Escalating Tensions

US Officials Blast China as 'Unreliable' Amid Escalating Trade Tensions In a rare joint appearance, US Trade Representative Jamieson Greer and Treasury Secretary Scott Bessent accused China of betraying a trade truce reached earlier this year, escalating tensions between the two economic giants. The officials labeled China's plans to curb exports of rare earths as "economic coercion" and "a global supply chain power grab." "If China wants to be an unreliable partner to the world, then the world will have to decouple," Bessent said during the unusual, staged appearance on Wednesday. The dispute centers around China's dominance in the production of rare earths and magnets, which are critical for advanced tech manufacturing. The country processes approximately 90% of the world's rare earths, materials that go into everything from cars to smartphones. Greer questioned whether China would ultimately implement its tightened export controls, stating, "The scope and the scale is just unimaginable, and it cannot be implemented." Background: Trade Tensions Mount Tensions between the US and China have been escalating for months. The two countries reached a trade truce in January, but recent developments suggest that China may not be committed to upholding its end of the agreement. China's export controls on rare earths are seen as a key point of vulnerability in trade talks for the US. Many firms rely on these materials for their manufacturing processes, and a disruption in supply could have significant economic implications. Implications: Global Supply Chain Power Grab The dispute highlights China's growing influence over global supply chains. The country's dominance in rare earths production gives it significant leverage in trade negotiations, allowing it to dictate terms that favor its own interests. "This is China versus the world," Bessent said, emphasizing the need for other countries to reassess their relationships with China. Next Developments: Decoupling and Negotiations The US officials left the door open to negotiation, but emphasized that any agreement must be based on fair and reciprocal terms. The current status of trade talks between the two countries remains uncertain, but one thing is clear: the stakes are high, and the implications for global trade are far-reaching. As tensions continue to mount, it remains to be seen whether China will ultimately implement its export controls or negotiate a new agreement with the US. One thing is certain, however: the world is watching, and the consequences of this dispute will be felt for years to come. *Reporting by Bbc.*