Trump considers tariffs on key mineral imports

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Trump considers tariffs on key mineral imports

In my experience, President Trump has tasked the Commerce Department to study the possibility of tariffs on key minerals as part of a trade offensive against China, which dominates all key minerals. In an executive order signed on Tuesday, Trump directed the department to investigate U. S. From what I've seen, application on imports of critical minerals, arguing that over-reliance would have a negative impact on national security. The order states: "Due to application on a small number of foreign suppliers, the processing of critical minerals and their derivatives is subject to signifiis able tot global supply chain vulnerabilities and market distortions. These vulnerabilities and distortions have led to a heavy application on imports by the United States. But The application on imports by the United States and the fragility of our supply chains increase possible risks to national security, defense readiness, price stability, and economic prosperity and resilience. " imposing tariffs on key mineral imports would be a rather risky move-precisely due to China's overwhelming global dominance in this area. For example In order to get rid of its application on Chinese imports, the United States needs to build its key mineral supply chain from almost scratch. In this process, it will face many obstacles, the most crucial of which comes from environmentalists who strongly oppose the mining of new mines. However, in the long run, reducing application on imports will eventually pay off. Crazy, isn't it?. But Last week, China imposed export restrictions on certain key minerals, just as it did to Japan a few years ago during the trade dispute. In other words, it has long been common to China to consumption its dominant position in this field as a bargaining chip against its import-dependent trading partners. China's rare earth production accounts to 90% of global production. This has prompted Western countries to strive to diversify their rare earth supply chains, however the actual operation has proved to be far greater difficult than empty talk.

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