The US and Chinese governments have been battling it out once more over trade policies, and the big point of contention this time round is Beijing's latest raft of , requiring foreign companies to obtain an export license for products containing the vital materials.
According to , the Trump administration is currently considering multiple different plans in response—one of which being new restrictions on exports to China on items made with, or containing, US-made software.
US treasury secretary Scott Bessent said that "" when asked specifically about the potential software curbs on Wednesday. [[link]] "If these export controls—whether it's software, engines, or other things—happen, it will likely be in coordination with our G7 allies," he confirmed.
On the other hand, it's possible that a de minimis rule may have a part to play here if this plan comes into force. While some reports indicate that , it's feasible to think that something more reasonable, like defining whether a product would fall under the restrictions based on a percentage value of US-software used in its production, would be a more likely play.
It's difficult to know for sure, as US China trade relations seem to have devolved into a game of brinksmanship at this point, as the two countries circle each other with ever-increasing rhetoric. in South Korea next week for face-to-face talks, and I would imagine trade restrictions would be high on the agenda.
It wouldn't be the first time resulted in Trump changing his administration's position, so I'd say it was likely that any formal announcement would be held back until the talks were over, at the very least.
In fact, it would line-up with Trump's earlier 100% Chinese tariff declaration, which stated that the "critical software" export controls . Trump's meeting with Xi Jinping is scheduled for October 30, so it [[link]] looks like we might not have long to wait before we find out exactly how far the US government is prepared to go in this recent round of trade negotiations.
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