China on Thursday accused the U.S. of stoking panic over its rare earth controls and said Treasury Secretary Scott Bessent had made “grossly distorted” remarks about a top Chinese trade negotiator, rejecting a White House call to roll back the curbs. The official newspaper of the governing Communist Party also issued a seven-point rebuttal after top U.S. negotiators suggested Beijing could avert President Donald Trump’s threat to impose 100% tariffs on Chinese goods by scrapping the measures set to take effect on November 8. While investors are relieved the world’s top two economies have avoided the retaliatory tariff hikes of March and April, each exchange risks derailing a meeting between Trump and Chinese leader Xi Jinping in South Korea later this month — a fixed point that has so far helped anchor market stability. “The U.S.’ interpretation seriously distorts and exaggerates China’s (rare earths export control) measures, deliberately stirring up unnecessary misunderstanding and panic, He Yongqian, a commerce ministry spokesperson, told a news conference.

Full report : China blames US for global panic over rare earths controls.