Le Monde: China Has These Five Economic Weapons to Counter Trump's Trade War On Monday, Le Monde published a long article reviewing the powerful economic weapons that China can use to counter Trump's trade war. One, China's holdings of U.S. Treasury bonds Regarding the weapons available to China, Le Monde pointed out that the first weapon is China's significant holdings of U.S. Treasury bonds. Two, the exchange rate of RMB against USD The second economic weapon is the exchange rate of the RMB against the USD because the exchange rate between the RMB and the USD holds a core position in Sino-U.S. trade. Three, China's trade surplus with the United States The third economic weapon is China's trade surplus with the United States. This situation is advantageous for China because American consumers are overly dependent on Chinese products, giving China an edge in negotiations. Recently, Trump's exemption of tariffs on Chinese high-tech products is a testament to this. Four, China's huge direct investment in the United States The fourth economic weapon is China's massive direct investment in the United States. According to the U.S. Department of Commerce statistics, in 2023, China's direct investment in the United States reached $43.9 billion, representing 117,100 jobs. China's direct investment in the United States is mainly in manufacturing, wholesale, and finance. Five, China is the main supplier of rare earths to the United States China's fifth economic weapon is that it is the main supplier of rare earths to the United States. Rare earths, which encompass 17 chemical elements, form the foundation for the production of many high-tech cutting-edge products. Smartphones, electric vehicles, guided missiles, or industrial robots all require the use of rare earth elements. Today, in the field of rare earths, China is almost monopolistic worldwide: China accounts for nearly 70% of rare earth ore resources, and 90% of rare earth ore refining. In the United States, 70% of rare earth imports come from China. [Image] Source: https://www.toutiao.com/article/1830062535599104/ Disclaimer: The article solely represents the author's viewpoint.