In a sharp escalation of trade tensions between the United States and China, President Donald Trump accused China of pursuing a “divide and rule” policy, claiming that Beijing was deliberately buying soybeans from Argentina instead of the US to drive a wedge between the two nations. Speaking at a joint press conference with Argentine President Javier Milei, Trump vowed not to let China “create divisions for its own gain.”
Trump stated, “China thrives on divide and rule. They’re not buying our soybeans; instead, they are purchasing from Argentina to create economic and diplomatic rifts. But we won’t let that happen.” The remarks come amid growing friction between Washington and Beijing over trade tariffs and port fees.
The confrontation follows China’s recent decision to impose a 100% tariff on rare earth elements, prompting a matching 100% tariff from the US. These rare earths are critical to technology and defense manufacturing, making the standoff particularly sensitive. The back-and-forth has intensified global supply chain concerns and further strained US-China relations.
Trump accused Beijing of intentionally hurting American farmers by halting soybean imports and using economic tools as political leverage. “China is trying to weaken our farmers, but we’re considering suspending trade on cooking oil and other key imports from China,” he added.
Adding to the dispute, China recently introduced a new “special port fee” for all incoming American ships. Effective October 14, 2025, this rule mandates a payment of 400 yuan (US$56) per net ton, which will increase annually for the next three years. China claims the move protects its shipping industry, but the US sees it as a retaliatory measure against earlier American tariffs.
Economic analysts warn that this tariff war could disrupt global trade patterns, particularly in the agriculture and technology sectors. With both countries unwilling to back down, diplomatic observers fear the rift could expand beyond trade into broader geopolitical rivalry.