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Recently, U.S. President Trump announced that he would impose a 100% tariff on Chinese products starting November 1 and implement export controls on "all critical software".

Trump stated that the additional tariffs and U.S. export controls on "all critical software" would take effect on November 1. 

While posting on social media to announce the significant tariff hike on China, he also claimed, "There is no longer a need for me to meet with China¡¯s top leader at the end of this month."

However, after making these angry remarks, Reuters reported that when White House reporters later asked Trump whether the meeting with China¡¯s top leader at the end of the month had been canceled, Trump backtracked: "I haven¡¯t canceled it, but I¡¯m not sure if it will still happen. But I will definitely go, so I think the meeting is still possible."

Trump expressed "shock" at China¡¯s sudden announcement of a series of export control measures, saying, "Let¡¯s wait and see. That¡¯s why I set the effective date (of the additional 100% tariff) for November 1. We¡¯ll just have to wait and see."

Judging from the measures the U.S. is about to implement, Trump is indeed extremely angry. In addition to imposing high tariffs on China, he has even pushed the tariff rate back to triple digits and started implementing new technology controls on China. It is currently unknown which specific software will be restricted, or whether all software will be included in the restricted list as he stated in his post.

Hu Xijin, former editor-in-chief of China¡¯s Global Times, posted an article arguing: "Trump is in a bad mood right now. The failure to win the Nobel Peace Prize is probably one factor, and with the instigation of U.S. hawks, 'I think he has become confused again and wants to repeat the confrontation the two sides had in April and May this year¡ªand the U.S. side lost that time.'"

After Trump threatened to push the tariff on China back to 130% (100% new tariff + 30% tariff added earlier this year), U.S. stocks plummeted. Then, in less than eight hours, Trump realized the situation had gotten out of hand. Having originally roared that he would never meet, he suddenly backtracked, saying he would meet anyway and even added that he was willing to wait for the Chinese delegation in South Korea. This statement stunned the media and the market, as his attitude changed too quickly.

1. The threat of tariff hikes is a negotiation tactic but may still take effect: Trump¡¯s announcement to impose a 100% tariff on Chinese goods starting November 1 is a typical tactic of his to pressure negotiations, aiming to gain more leverage for the upcoming head-of-state meeting. Despite his tough stance, given the frequent reversals of his policies, if he fails to get the expected response through threats, he may still put the tariff policy into practice in the short term.

2. The tariff threat exposes the U.S. side¡¯s strategic anxiety: The timing of Trump¡¯s threat coincides with China¡¯s introduction of countermeasures in areas such as rare earths, which exposes the U.S. side¡¯s passive position and anxious mindset in the trade game. His threat is more like an "emotional outburst"¡ªsince the high tariff policy in April and May has already backfired on the U.S. economy itself, another significant tariff hike may exacerbate domestic inflation and harm the interests of enterprises, making the actual enforceability of this policy questionable.

Before November 1, the APEC Summit will be held in South Korea. Reports indicate that Trump has long hoped for a key meeting between China and the U.S. during the summit. However, regarding the meeting between the two heads of state, there is no clear information from the Chinese side yet, and an official announcement is pending.