President Trump has stopped some critical products and technologies made only in the United States from flowing to China, flexing the government’s power over global supply chains.
The Trump administration has suspended some sales to China of critical U.S. technologies, including those related to jet engines, semiconductors and certain chemicals and machinery. The move is a response to China’s recent restrictions on exports of critical minerals to the United States, a decision by Beijing that has threatened to cripple U.S. company supply chains, according to two people familiar with the matter.
The new limits are pushing the world’s largest economies a step closer toward supply chain warfare, as Washington and Beijing try to flex their power over essential economic components in an attempt to gain the upper hand in an intensifying trade conflict.
A growing standoff over critical supply chains could have significant implications for companies that depend on foreign technologies, including makers of airplanes, robots, cars and semiconductors.
It could also complicate efforts to negotiate an end to a trade fight over the administration’s tariff policies. On May 12, negotiators from the two countries agreed to reduce the punishing tariffs they have imposed on each other for 90 days while negotiators sought a longer-term resolution.
Scott Bessent, the Treasury secretary, said at the time that “the consensus from both delegations is that neither side wanted a decoupling.” Yet the administration continues to target China with punitive measures. Secretary of State Marco Rubio also announced on Wednesday that the United States would “aggressively revoke” visas for Chinese students who study in critical fields or who have connections to the Chinese Communist Party.
Since their agreement to roll back tariffs in May, U.S. officials had expected the Chinese to relax restrictions they had imposed on critical minerals. The Trump administration does not appear to be pleased with China’s efforts. In recent days, the Chinese have restarted some shipments of rare earth minerals and magnets, but they have been limited, one of the people said. American companies remain concerned about their access to critical Chinese supplies.
