By imposing rare earth controls, China is ‘firing a loaded gun’ into U.S. economy, said the lawmaker.
WASHINGTON—China is trying every means—including coercion—to gain bargaining leverage in the upcoming talks with the United States, according to the House China committee chair.
“They are putting every bit of leverage on the table so that in a negotiation, they can, in some way, relent in a small way and still keep their negotiated gains,” Rep. John Moolenaar (R-Mich.), who leads the House Select Committee on the Chinese Communist Party, told The Epoch Times on EpochTV’s “American Thought Leaders” show.
Particularly revealing were the sweeping rare earth controls that China imposed on Oct. 9, said Moolenaar.
Beijing mines two-thirds of the global rare earth elements and holds over 90 percent of the processing capacity. These are critical for powering modern technologies such as televisions, phones, computers, and defense systems, making the move highly disruptive.
“China is basically firing a loaded gun, if you will, on our economy,” he said, describing it as “a very aggressive threatening action.”
“It really wakes up the world to what [Chinese leader] Xi Jinping is capable of doing to leverage whatever advantage he wants in a negotiation.”
Bargaining Chips
President Donald Trump is set to meet with Xi in South Korea on the sidelines of the Asia-Pacific Economic Cooperation summit. Top U.S. officials, including Trade Representative Jamieson Greer and Treasury Secretary Scott Bessent, are already heading to Malaysia for trade talks with their Chinese counterparts.
The rare earth mineral chokehold—which led Trump to suggest calling off the meeting—isn’t the only card Beijing holds in the negotiation, Moolenaar said.
Days after the move, Chinese authorities began a broad operation against Zion Church pastors, detaining or disappearing more than 30 leaders and believers. And in September, Beijing targeted Nvidia in a probe, alleging that the artificial intelligence chip maker violated China’s anti-monopoly law.
In the middle of a negotiation, these measures are all strategic, said Moolenaar.
“They’re setting up this negotiation line,” he said.
By Eva Fu
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About the EpochTV Video
CCP Power Plays in Tariff Talks Explained | John Moolenaar, Chairman of the House Committee on the CCP
Rep. John Moolenaar (R-Mich.) has been spearheading efforts in Congress to combat the threat posed by the Chinese regime to American interests—from economic warfare to espionage and infiltration—as chairman of the House Select Committee on the Chinese Communist Party.
“With rare earths, China is basically firing a loaded gun … on our economy,” he says.
He’s pushing a bill that would phase in a 100 percent tariff on all strategic goods from China. The tariff would not just penalize China but also incentivize “other countries, as well as the United States, to invest in this almost as if it’s a Defense Production Act activity.”
Beyond rare earth minerals, what leverage does the Chinese Communist Party (CCP) have exactly in trade talks with the United States? What will the CCP’s strategy be? How should President Donald Trump respond to the CCP’s coercive tactics and its recent attempts to gain additional leverage?
And what can America do to extricate itself from its dependence on China for some of its most critical manufacturing technologies?
Moolenaar points out that the CCP is using its leverage not only over trade but also over Chinese nationals studying or working in America via its extensive United Front operations.
“Under their recent national security laws, any Chinese national who doesn’t carry out the will of the Chinese Communist Party, no matter where they are in the world, on U.S. soil or somewhere else in the world, [is] in violation of national security laws,” Moolenaar says.
On the other hand, is the position of the CCP really secure? And what about Chinese leader Xi Jinping’s position in particular? What signs of dissatisfaction and unrest are there among the Chinese population?
Views expressed in this video are opinions of the host and the guest, and do not necessarily reflect the views of The Epoch Times ot The Thinking conservative.
Description
At a time when our nation is becoming increasingly polarized, media often ignore viewpoints and stories that are worthy of attention. American Thought Leaders, hosted by The Epoch Times Senior Editor Jan Jekielek and his reporting team, features in-depth discussions with important thought leaders on key issues facing America—and Canada, the world—today.
About the host
Jan Jekielek is a Senior Editor with The Epoch Times and host of the show, “American Thought Leaders.” Jan’s career has spanned academia, media, & international human rights work. In 2009 he joined The Epoch Times full time and has served in a variety of roles, including as Website Chief Editor. He is the producer of the award-winning Holocaust documentary film “Finding Manny.“
