The Trump administration is reportedly considering a plan to restrict US software exports to China in response to Beijing’s latest rare earth export restrictions, Reuters reported, citing a US official and sources briefed by authorities.
The potential measures could target products ranging from laptops to jet engines.
Scope of proposed measures
The proposed restrictions are part of a broader effort to escalate pressure on China amid growing trade tensions. While sources told the news outlet that the plan may not ultimately move forward, the discussions signal the administration is weighing a approach to the trade standoff.
“Everything imaginable is made with U.S. software,” one source said, emphasizing the broad potential impact of the proposed export controls.
Some within the US government reportedly favor a more measured approach, and narrower policy proposals are also under consideration, according to the report.
Trump announces tariffs and software controls
President Trump responded to China’s rare earth restrictions on October 11, announcing that the US would impose a 100% tariff on imports from China, “over and above any tariff that they are currently paying,” effective November 1 or sooner.
“Starting November 1st, 2025 (or sooner, depending on any further actions or changes taken by China), the United States of America will impose a Tariff of 100% on China, over and above any Tariff that they are currently paying,” Trump said.
In addition, Trump declared that the US would implement export controls on “any and all critical software” produced by American firms.
China responds
China on the US measures emphasized opposition to unilateral actions. “China opposes the U.S. imposing unilateral long-arm jurisdiction measures” and warned it would “take resolute measures to protect its legitimate rights and interests” if the U.S. moves forward.
Trump criticizes China’s trade moves
Trump condemned Beijing’s export restrictions as “extraordinarily aggressive” and “a moral disgrace in dealing with other Nations.” He described China’s actions as unprecedented, affecting all countries without exception, and said the moves had been “obviously a plan devised by them years ago.”
“It is absolutely unheard of in International Trade… It is impossible to believe that China would have taken such an action, but they have, and the rest is History,” Trump said.
He also highlighted US strategic positions in rare earths and other critical materials, emphasizing that America holds “monopoly positions… much stronger and more far-reaching than China’s.” Trump added, “There is no way that China should be allowed to hold the World ‘captive,’ but that seems to have been their plan for quite some time… But the U.S. has Monopoly positions also… UNTIL NOW!”
Trade tensions and rare earths
The US and China have a history of tariff-driven trade conflicts, with previous rates peaking at 145% on US imports and 125% on Chinese imports before being reduced through negotiations.
The latest escalation, focused on rare earth elements crucial to high-tech industries, signals intensifying tensions between the world’s two largest economies.
Key Takeaways:
-Trump administration weighing broad US export controls on China, including software and high-tech products.
-100% tariffs on Chinese imports announced effective November 1, 2025.
-China vows countermeasures, calling US actions unilateral.
-Trump highlights US strategic positions in rare earths and critical technologies.
