Trump confirms US is in a trade war with China

Asked by reporters whether the US is preparing for a trade war with China, US President Donald Trump responded: “Well, we’re in one now.”

US President Donald Trump has confirmed the US is in an active trade war with China after threatening a 100% tariff on all Chinese imports last week.

“Well, we’re in one now,” Trump said after being asked by White House reporters whether the US is preparing for a “sustained trade war with China.”

”If we didn’t have tariffs, we would be exposed as being a nothing, we would have no defense,” Trump explained, calling the tariffs an important measure for America’s national security.

A social media post from Trump last Friday threatening the tariffs sparked a crypto market crash that saw Bitcoin (BTC) fall from around $121,560 to below $103,000 over several hours.

Related: $19B crypto market crash: Was it leverage, China tariffs or both?

Trump said he would impose a 100% tariff on China after China tightened its export controls on rare earth minerals that are essential for building computer chips.

Trump’s latest comments haven’t triggered a significant market selloff, with Bitcoin up 0.1% over the last hour, CoinGecko data shows.

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