China Deals Major Blow to Trump—How Beijing Is Shifting the Balance in the Trade War

As the U.S.–China trade war intensifies, the battlefield has expanded far beyond tariffs and trade talks—reaching into the smartphones of American consumers. Platforms like TikTok have become tools for Chinese suppliers to bypass U.S. restrictions, offering irresistible prices and urging American buyers to defy their own government’s policies.

Meanwhile, rare earth metals—critical to global industries—have emerged as Beijing’s newest strategic weapon, threatening to reshape the geopolitical balance of power.

Digital Black Markets: Chinese Suppliers on U.S. Phones

One Chinese supplier, Wang Xin, appeared in a viral video standing before piles of luxury “Birkin” handbags, claiming to be the original manufacturer of world-famous brands.

“Why don’t you contact us and buy directly?” he asked.

The video was later removed from TikTok, likely due to policy violations or deceptive content.

Major global brands like Lululemon have denied ties to the suppliers featured in these videos, stressing that official manufacturers are bound by strict non-disclosure agreements and cannot legally sell direct to consumers.

Yet despite the legal ambiguities, one message is loud and clear:

Trump’s protectionist policies may hurt China—but they hurt American consumers even more.

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Rare Earths: China’s Silent Nuclear Option

• • Smartphones and electronics

• • Electric vehicles

• • Aircraft engines

• • Military technology

These elements, such as neodymium and yttrium, are indispensable to modern industries. While small reserves exist in the U.S., extraction is costly, environmentally hazardous, and technically complex—making the U.S. heavily reliant on China, which controls up to 80% of the global rare earth supply chain.

Washington Scrambles as Beijing Tightens the Screws

This move is seen as a decisive escalation in the trade war. It signals Beijing’s ability to strike where it hurts—not just through tariffs, but by weaponising its industrial dominance in critical technologies.

Islamic Perspective on Economic Warfare

More importantly, it raises the question:

Can the Muslim world develop its own industrial and digital autonomy to escape this economic tug-of-war between superpowers?