U.S. President Donald Trump said on Friday he is consideringa major increase in tariffs on Chinese imports. He added that he saw littlepoint in meeting with Chinese President Xi Jinping in two weeks as planned,saying there was “no reason to do so.” The statement triggered a sell-off inthe U.S. dollar and renewed market uncertainty.China Tightens Exports, Trump Threatens TariffsChina, earlier this week, tightened export controls on keyrare earth materials. On Friday, it announced additional port fees on U.S.ships starting October 14. The measures were seen as part of the ongoing tradetensions between the two countries.JoinIG, CMC, and Robinhood in London’s leading trading industry event!“Some very strange things are happening in China!” Trumpposted on social media. He also threatened to cancel the meeting with Xi andwarned of a “massive increase” in tariffs.BREAKING: The S&P 500 falls 70+ points in seconds after President Trump publishes the below paragraph about China.Trump says he is calculating increased tariffs on Chinese products.Trump also says there is "no reason" to meet Chinese President Xi anymore. pic.twitter.com/fKPadrPefL— The Kobeissi Letter (@KobeissiLetter) October 10, 2025Market Slides Amid Trump’s China RemarksFollowing the comments, U.S. stocks fell sharply. The DowJones Industrial Average dropped 0.8%, or more than 350 points. The S&P 500declined 1.3%, and the Nasdaq Composite fell over 2%, led by losses intechnology shares.Investors also focused on private economic reports asofficial data releases remained on hold. The U.S.government shutdown entered its tenth day, delaying several scheduledupdates on the economy.The US and China have finalized a trade understanding reached last month in Geneva, US Commerce Secretary Howard Lutnick told @kaileyleinz and @jmathieureports on "Balance of Power" https://t.co/qZyEIt78e6 pic.twitter.com/qQXIC8eK7r— Bloomberg TV (@BloombergTV) June 26, 2025U.S.-China Rare Earth Deal AnnouncedEarlier, the U.S.and China finalized a trade agreement focused on rare earth minerals. Thedeal aims to address supply chain concerns for critical manufacturingcomponents, including microchips. Following the announcement, major U.S. and Asia-Pacificstock indices rose. Technology companies such as Nvidia, Apple, and Amazongained, while some rare earth mining firms saw declines amid expectations ofincreased supply from China. The full impact will depend on the deal’s implementation andfurther negotiations.This article was written by Tareq Sikder at www.financemagnates.com.