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By Maggie Fick LONDON (Reuters) -AstraZeneca CEO Pascal Soriot looked relaxed standing in the Oval Office on Friday as U.S. President Donald Trump unveiled a medicine deal that will lower drug prices for millions of Americans. The hard work had paid off, allowing Soriot to clinch the first agreement for a non-U.S. drugmaker and shield his Anglo-Swedish company from threatened steep tariffs on imports to the U.S. – the world's largest pharmaceuticals market. That moment at the White House was the culmination of public and private meetings between Soriot and Trump officials, stretching back to November last year when Trump won election, three sources close to the negotiations told Reuters. And it went down to the wire with a last-minute push from AstraZeneca to seal the agreement. "You've kept me up at night and my team as well. But it's been really worth it," Soriot joked to Trump. ASTRAZENECA CEO MET TRUMP AT ROYAL BANQUET The agreement will likely bolster the 66-year-old French-born Australian's reputation as something of a Trump whisperer, even as many CEOs globally grapple with the president's whipsaw tariff changes. Trump argues Americans pay far too much – often three times more, studies show – for prescription medicines than in other wealthy nations and set a September 29 deadline for drugmakers to cut prices, using threats of tariffs up to 100% as leverage. Soriot's charm offensive started the week after Trump won the U.S. election. On November 12, AstraZeneca announced a $3.5 billion plan to expand manufacturing and research in the United States. Soriot, who arrived in the U.S. early last week, most recently met Trump at a September 18 royal banquet dinner at Windsor Castle in Britain, the first source said. Over the summer he met with U.S. Secretary of Commerce Howard Lutnick at least three times in Britain and the United States, that source added. All three sources asked not to be named as the talks were confidential. Soriot also developed a close relationship with vocal Trump ally and Republican high-flier, Governor Glenn Youngkin of Virginia, all three sources said. That led to a rapidly-assembled deal for a $4.5 billion plant in the state, which took just over a month to go from initial talks to an agreement. On Thursday, a day before the Oval Office signing, Soriot and Youngkin stood shoulder-to-shoulder, shovels in hand, to break ground at the site. "Youngkin has a lot of ambition and his connections with the administration were clearly helpful," a second source said. "The Virginia facility deal showed the two sides were on the same page." ASTRAZENECA: A 'VERY AMERICAN COMPANY' Following the agreement and a deal a week earlier by U.S. peer Pfizer that boosted global healthcare stocks, Wall Street now expects more companies to reach similar agreements with the Trump administration in the coming weeks. Shore Capital analyst Sean Conroy said that Soriot, who publicly backed Trump on drug pricing and called AstraZeneca a "very American company", secured a seat at the table in Washington with smart strategic announcements. "That rhetoric has clearly resonated with the Trump administration and its agenda around Most Favored Nation drug pricing," Conroy said, referring to the lowest price paid in other wealthy countries after fees and rebates. SOME CONCESSIONS, BUT A WIN FOR ASTRAZENECA Analysts had estimated that AstraZeneca was less exposed to U.S. tariffs than many other major drugmakers, having already established substantial manufacturing capacity in the United States. But tougher regulation and more price pressure in the UK, where many drugmakers have criticised the government for not doing enough to support the sector, gave AstraZeneca a strong business argument for the U.S. deal. Britain accounts for a small percentage of the company's revenues but is where it is headquartered and primarily listed. AstraZeneca is the largest listed firm on London's FTSE 100 Index. In contrast to Britain, U.S. officials are in the midst of an aggressive push to spur investment from firms like AstraZeneca and put in ample energy and effort to assist them, the first source said. In July, AstraZeneca announced a sprawling $50 billion investment plan for the U.S. market and in late September said it would do a full U.S. listing of its shares alongside its current London listing. By the time Pfizer signed its deal on September 30, AstraZeneca was already nearing its own finalised agreement, the three sources said. Soriot headed to the U.S. early last week even as the last details were being ironed out. Each day a deal looked close but didn't arrive. The Virginia plant agreement solidified goodwill between the company and the Trump administration, which ultimately helped push the deal over the line, the third source said. In the end, while AstraZeneca made concessions on some drug prices for Medicaid and pledged to produce more medicines locally, its U.S. arrangement marks a win for the company. It gives more clarity, analysts say, without significantly denting expected revenues, which AstraZeneca is aggressively forecasting at $80 billion by 2030, with half of that coming from increased sales in the United States. "Friday's deal is the last piece in the puzzle," the third source added. (Reporting by Maggie Fick; Additional reporting by Sabrina Valle in New York; Editing by Adam Jourdan and Joe Bavier)

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By Lewis Krauskopf NEW YORK (Reuters) -Investors will look to major banks' quarterly earnings reports in the coming week to help gauge the U.S. economy's health as the federal government shutdown has interrupted the flow of new data. Major U.S. equity indexes slumped on Friday, stalling the market's momentum, after comments from President Donald Trump ratcheted up trade tensions with China. Stocks ended the week on a dour note just before the benchmark S&P 500 is set to mark the third anniversary of the start of its current bull market run on Sunday. Markets had been overbought and due for some volatility, said Matthew Miskin, co-chief investment strategist at Manulife John Hancock Investments. "At the end of the day, it's going to come back to the economy," Miskin said. "It's going to come back to corporate profits, and earnings season is right around the corner." With the U.S. stock market's valuation around its highest level in five years and some concerns about over-inflated investor enthusiasm for technology and artificial intelligence, a strong third-quarter earnings season will be critical for equities to maintain their momentum. Despite Friday's sharp decline, the S&P 500 remains up over 11% year-to-date and within roughly 3% of its all-time high. "The market just keeps grinding higher," said Garrett Melson, portfolio strategist at Natixis Investment Managers Solutions. "The key underpinning of that is stronger earnings outlooks. … When you look at the fundamentals, things continue to look good." The record-breaking run for U.S. stock indexes has been accompanied by recent strong gains for other assets, including gold, silver and bitcoin. Several high-profile officials have recently made cautious comments about markets, including Kristalina Georgieva, head of the International Monetary Fund, and JPMorgan CEO Jamie Dimon. JPMorgan is among the major banks kicking off the earnings season when it reports on Tuesday, along with Goldman Sachs, Wells Fargo and Citigroup. Bank of America and Morgan Stanley are due on Wednesday. Recent weak labor market data has raised concerns about growth and prompted the Federal Reserve to restart interest rate cuts. "Banks are a window into the U.S. economy," said Irene Tunkel, chief U.S. equity strategist at BCA Research. "If we see that consumers are still spending, if we see that demand for loans is improving, then I will start to think that perhaps we're not really edging towards contraction." Other companies due to report next week include healthcare company Johnson & Johnson and asset manager BlackRock. S&P 500 companies overall are expected to have increased earnings by 8.8% in the third quarter from a year earlier, according to LSEG IBES. "A lot of the bullishness is built around the expected earnings growth," said Chuck Carlson, chief executive officer at Horizon Investment Services. "If we start to see cracks in that, that would not be good for the market in general." Attention also will be on Washington to see if Republican and Democratic lawmakers break an impasse and end a government shutdown that began on October 1. Markets have largely shrugged off the shutdown so far, but investors have warned that risks to the economy will increase the longer it goes on, while it is already hamstringing U.S. travel. Another issue for investors is the interrupted publication of key economic reports by government agencies. The monthly employment report, due on October 3, already has been delayed. Investors have been concerned that the shutdown also could affect next week's data, including releases related to inflation and retail sales.   The monthly consumer price index report, which is closely watched for inflation trends, will be published on October 24, the U.S. Bureau of Labor Statistics said on Friday, after the CPI report was originally scheduled for this coming Wednesday.  While the CPI report will allow the Social Security Administration to meet deadlines necessary for payment of benefits, the BLS said no other releases will be rescheduled or produced until regular government services resume. If the shutdown drags on through next week, there will be an impact on the October employment report when it is released, "which would make the numbers harder to interpret," Michael Pearce, deputy chief U.S. economist at Oxford Economics, said in a note on Friday. "With much of the regular economic data unavailable during the shutdown," Pearce wrote, "the data fog is thickening."  (Reporting by Lewis Krauskopf; Editing by Alden Bentley, Richard Chang and Aurora Ellis)

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By Eduardo Baptista and Selena Li BEIJING/HONG KONG (Reuters) -China called U.S. President Donald Trump's latest tariffs on Chinese goods hypocritical on Sunday and defended its curbs on exports of rare earth elements and equipment, but stopped short of imposing new levies on U.S. products. Trump on Friday responded to Beijing's most recent export controls by imposing additional tariffs of 100% on China's U.S.-bound exports, along with new export controls on critical software by November 1. The revived trade tensions have rattled Wall Street, sending Big Tech shares tumbling, worried foreign companies dependent on China's production of processed rare earths and rare earth magnets, and could derail a summit between Trump and Chinese President Xi Jinping tentatively scheduled for later this month.  RESPONDING TO TRUMP The Chinese commerce ministry's statement on Sunday was Beijing's first direct response to Trump's lengthy Truth Social post on Friday, where he accused Beijing of suddenly raising trade tensions after an uneasy truce was reached six months ago between the world's two largest economies, allowing them to trade goods without sky-high tariff rates. "Our relationship with China over the past six months has been a very good one, thereby making this move on Trade an even more surprising one," Trump said. The commerce ministry said in an equally lengthy statement that its export controls on rare-earth elements followed a series of U.S. measures since bilateral trade talks in Madrid last month. Beijing cited the addition of Chinese companies to a U.S. trade blacklist and Washington's imposition of port fees on China-linked ships as examples. "The U.S. actions have severely harmed China’s interests and undermined the atmosphere of bilateral economic and trade talks, and China is resolutely opposed to them," the ministry said. Beijing stopped short of explicitly connecting these U.S. actions to its export curbs on rare-earth elements, saying they were motivated by concern about these materials' military applications at a time of "frequent military conflicts". It also held off on announcing a corresponding levy on China-bound U.S. imports, unlike earlier in the year, when both superpowers progressively ratcheted up tariffs on each other until the U.S. rate was 145% while China's was 125%. 'PATH FOR NEGOTIATIONS' China's decision not to immediately respond in kind to Trump's opening salvo in this latest round of trade tensions could leave the door open for both countries to negotiate a de-escalation, analysts said. "By clarifying the rationale behind its retaliatory measures, Beijing is also outlining a potential path forward for negotiations. The ball is now in the U.S. court," said Alfredo Montufar-Helu, managing director at strategic advisory firm GreenPoint. But Hutong Research said in a note on Saturday that if Beijing chooses not to respond to Trump's 100% tariff hike, it may signal that it no longer prioritises a long-term deal with him, reflecting diminished confidence in his ability to restrain hawks or stick to commitments. "Key watchpoints now: Whether Beijing moves to freeze or complicate the TikTok sale, given its political symbolism. Proceeding with the sale under current conditions would be seen as a major concession (from Beijing)," the research firm said. Other tools in Beijing's arsenal include regulatory action targeting U.S. companies. China's State Administration for Market Regulation (SAMR) said last month leading U.S. AI chip manufacturer Nvidia violated the country's anti-monopoly law, during U.S.-China trade talks in Madrid. The market regulator on Friday announced an antitrust investigation into U.S. chip manufacturer Qualcomm over its June 2025 acquisition of Israeli chip designer Autotalks. A few hours after the commerce ministry's response to Trump's post and tariff hike, SAMR said Qualcomm had completed the acquisition without informing the regulator, adding that the U.S. firm had acknowledged this. "Based on clear facts and conclusive evidence, our bureau lawfully initiated an investigation into Qualcomm's unlawful…acquisition of Autotalks," SAMR said. CHINA SAYS EXPORT CONTROLS ARE NOT EXPORT BANS The commerce ministry also countered Trump's narrative that China was using its dominance in processed rare earths and rare earth magnets to attack all countries, not just the U.S. "We have been contacted by other Countries who are extremely angry at this great trade hostility, which came out of nowhere," Trump said on Friday on Truth Social. China produces over 90% of the world's processed rare earths and rare earth magnets. The 17 rare earths are vital materials in products ranging from electric vehicles to aircraft engines and military radars. Exports of 12 of them are restricted after China's commerce ministry on Thursday added five – holmium, erbium, thulium, europium and ytterbium – along with related materials. The commerce ministry statement on Sunday sought to reassure foreign companies spooked by the latest export curbs, promising to promote compliant trade by granting general-purpose licenses and license exemptions. "China's export controls are not export bans," it said. "Any export applications for civilian use that comply with regulations will be approved, and relevant enterprises need not worry." (Reporting by Eduardo Baptista in Beijing and Selena Li in Hong Kong; Editing by William Mallard)

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By Eduardo Baptista and Selena Li BEIJING/HONG KONG (Reuters) -China called U.S. President Donald Trump's latest tariffs on Chinese goods hypocritical on Sunday and defended its curbs on exports of rare earth elements and equipment, but stopped short of imposing new levies on U.S. products. Trump on Friday responded to Beijing's most recent export controls by imposing additional tariffs of 100% on China's U.S.-bound exports, along with new export controls on critical software by November 1. The revived trade tensions have rattled Wall Street, sending Big Tech shares tumbling, worried foreign companies dependent on China's production of processed rare earths and rare earth magnets, and could derail a summit between Trump and Chinese President Xi Jinping tentatively scheduled for later this month.  RESPONDING TO TRUMP The Chinese commerce ministry's statement on Sunday was Beijing's first direct response to Trump's lengthy Truth Social post on Friday, where he accused Beijing of suddenly raising trade tensions after an uneasy truce was reached six months ago between the world's two largest economies, allowing them to trade goods without sky-high tariff rates. "Our relationship with China over the past six months has been a very good one, thereby making this move on Trade an even more surprising one," Trump said. The commerce ministry said in an equally lengthy statement that its export controls on rare-earth elements followed a series of U.S. measures since bilateral trade talks in Madrid last month. Beijing cited the addition of Chinese companies to a U.S. trade blacklist and Washington's imposition of port fees on China-linked ships as examples. "The U.S. actions have severely harmed China’s interests and undermined the atmosphere of bilateral economic and trade talks, and China is resolutely opposed to them," the ministry said. Beijing stopped short of explicitly connecting these U.S. actions to its export curbs on rare-earth elements, saying they were motivated by concern about these materials' military applications at a time of "frequent military conflicts". It also held off on announcing a corresponding levy on China-bound U.S. imports, unlike earlier in the year, when both superpowers progressively ratcheted up tariffs on each other until the U.S. rate was 145% while China's was 125%. 'PATH FOR NEGOTIATIONS' China's decision not to immediately respond in kind to Trump's opening salvo in this latest round of trade tensions could leave the door open for both countries to negotiate a de-escalation, analysts said. "By clarifying the rationale behind its retaliatory measures, Beijing is also outlining a potential path forward for negotiations. The ball is now in the U.S. court," said Alfredo Montufar-Helu, managing director at strategic advisory firm GreenPoint. But Hutong Research said in a note on Saturday that if Beijing chooses not to respond to Trump's 100% tariff hike, it may signal that it no longer prioritises a long-term deal with him, reflecting diminished confidence in his ability to restrain hawks or stick to commitments. "Key watchpoints now: Whether Beijing moves to freeze or complicate the TikTok sale, given its political symbolism. Proceeding with the sale under current conditions would be seen as a major concession (from Beijing)," the research firm said. Other tools in Beijing's arsenal include regulatory action targeting U.S. companies. China's State Administration for Market Regulation (SAMR) said last month leading U.S. AI chip manufacturer Nvidia violated the country's anti-monopoly law, during U.S.-China trade talks in Madrid. The market regulator on Friday announced an antitrust investigation into U.S. chip manufacturer Qualcomm over its June 2025 acquisition of Israeli chip designer Autotalks. A few hours after the commerce ministry's response to Trump's post and tariff hike, SAMR said Qualcomm had completed the acquisition without informing the regulator, adding that the U.S. firm had acknowledged this. "Based on clear facts and conclusive evidence, our bureau lawfully initiated an investigation into Qualcomm's unlawful…acquisition of Autotalks," SAMR said. CHINA SAYS EXPORT CONTROLS ARE NOT EXPORT BANS The commerce ministry also countered Trump's narrative that China was using its dominance in processed rare earths and rare earth magnets to attack all countries, not just the U.S. "We have been contacted by other Countries who are extremely angry at this great trade hostility, which came out of nowhere," Trump said on Friday on Truth Social. China produces over 90% of the world's processed rare earths and rare earth magnets. The 17 rare earths are vital materials in products ranging from electric vehicles to aircraft engines and military radars. Exports of 12 of them are restricted after China's commerce ministry on Thursday added five – holmium, erbium, thulium, europium and ytterbium – along with related materials. The commerce ministry statement on Sunday sought to reassure foreign companies spooked by the latest export curbs, promising to promote compliant trade by granting general-purpose licenses and license exemptions. "China's export controls are not export bans," it said. "Any export applications for civilian use that comply with regulations will be approved, and relevant enterprises need not worry." (Reporting by Eduardo Baptista in Beijing and Selena Li in Hong Kong; Editing by William Mallard)

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HONG KONG (Reuters) -U.S. semiconductor manufacturer Qualcomm admitted that it had not informed Chinese authorities when it completed its acquisition of Israel's Autotalks in June, China's market regulator said on Sunday. The disclosure was made two days after China launched an antitrust investigation into Qualcomm examining whether the U.S. firm violated China's antitrust law by not declaring some details of its acquisition of the Israeli chip designer. Qualcomm didn't immediately respond to Reuters' request for comment on Sunday.  (Reporting by Selena Li)

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TAIPEI (Reuters) -No significant impact is expected on Taiwan's semiconductor industry from China's new curbs on rare earths as they differ from the metals needed for the chip sector, the island's economy ministry said on Sunday. China dramatically expanded its rare earths export controls on Thursday, adding five new elements and extra scrutiny for chip users as Beijing tightens control over the sector ahead of talks between Presidents Donald Trump and Xi Jinping. Taiwan's economy ministry said in a statement about China's new rules that the rare-earth elements covered by the expanded ban differ from the rare-earth items required in Taiwan's semiconductor processes, so no significant impact on chip manufacturing is expected at this time. Domestically needed products or derivatives containing rare earths are mainly sourced from Europe, the United States, and Japan, it added. Taiwan is home to the world's largest contract chipmaker TSMC, the producer of the vast majority of advanced chips that are a key component of artificial intelligence applications. However, the ministry added that China's latest expansion of controls could affect global supply chains for products such as electric vehicles and drones, adding the impact will need to be closely watched. Earlier on Sunday, China defended its curbs on exports of rare earth elements and equipment, saying they were motivated by concern about these metals' military applications at a time of "frequent military conflict". (Reporting by Ben Blanchard; Editing by Raju Gopalakrishnan)

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By Selena Li HONG KONG (Reuters) -U.S. semiconductor manufacturer Qualcomm admitted that it had not informed Chinese authorities when it completed its acquisition of Israel's Autotalks in June, China's market regulator said on Sunday. The disclosure was made two days after China launched an antitrust investigation into Qualcomm, examining whether the U.S. firm violated China's antitrust law by not declaring some details of its acquisition of the Israeli chip designer. Qualcomm did not immediately respond to Reuters' request for comment.  China's State Administration for Market Regulation (SAMR) said it informed Qualcomm in March 2024 that the deal requires approval by the regulator, and the U.S. firm in the same month notified SAMR it wouldn't pursue further. However, Qualcomm in June this year completed the deal without informing the authority, the regulator said, adding Qualcomm "acknowledged above facts", based on which Beijing launched the antitrust probe. Qualcomm's shares fell more than 5% on Friday after U.S. President Donald Trump threatened to hike tariffs against China and cancel a planned meeting with President Xi Jinping. (Reporting by Selena Li)

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TAIPEI (Reuters) -No significant impact is expected on Taiwan's semiconductor industry from China's new curbs on rare earths as they differ from the metals needed for the chip sector, the island's economy ministry said on Sunday. China dramatically expanded its rare earths export controls on Thursday, adding five new elements and extra scrutiny for chip users as Beijing tightens control over the sector ahead of talks between Presidents Donald Trump and Xi Jinping. Taiwan's economy ministry said in a statement about China's new rules that the rare-earth elements covered by the expanded ban differ from the rare-earth items required in Taiwan's semiconductor processes, so no significant impact on chip manufacturing is expected at this time. Domestically needed products or derivatives containing rare earths are mainly sourced from Europe, the United States, and Japan, it added. Taiwan is home to the world's largest contract chipmaker TSMC, the producer of the vast majority of advanced chips that are a key component of artificial intelligence applications. However, the ministry added that China's latest expansion of controls could affect global supply chains for products such as electric vehicles and drones, adding the impact will need to be closely watched. Earlier on Sunday, China defended its curbs on exports of rare earth elements and equipment, saying they were motivated by concern about these metals' military applications at a time of "frequent military conflict". (Reporting by Ben Blanchard; Editing by Raju Gopalakrishnan)

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(Changes wording in headline) TAIPEI (Reuters) -Most rare earth materials used in Taiwan are supplied by Europe, the United States and Japan, but the impact of China's new curbs on the semiconductor industry still needs to be assessed, the island's economy ministry said on Sunday. China dramatically expanded its rare earths export controls on Thursday, adding five new elements and extra scrutiny for chip users as Beijing tightens control over the sector ahead of talks between Presidents Donald Trump and Xi Jinping. Taiwan's economy ministry said in a statement about China's new rules said that most rare-earth-related materials needed domestically are supplied by Europe, the United States and Japan. "The impact on the operation of the semiconductor industry still requires further stocktaking and assessment. We will continue to monitor changes in raw material costs and any indirect effects that supply-chain adjustments may bring," it said. Taiwan is home to the world's largest contract chipmaker TSMC, the producer of the vast majority of advanced chips that are a key component of artificial intelligence applications. Earlier on Sunday, China defended its curbs on exports of rare earth elements and equipment, saying they were motivated by concern about these metals' military applications at a time of "frequent military conflict". (Reporting by Ben Blanchard; Editing by Raju Gopalakrishnan)

(The article has been published through a syndicated feed. Except for the headline, the content has been published verbatim. Liability lies with original publisher.)

By Eduardo Baptista and Selena Li BEIJING/HONG KONG (Reuters) -China called President Donald Trump's latest U.S. tariffs on Chinese goods hypocritical on Sunday and defended its curbs on exports of rare earth elements and equipment, but stopped short of imposing new levies on U.S. products. Trump on Friday responded to Beijing's most recent export controls by imposing additional tariffs of 100% on China's U.S.-bound exports, along with new export controls on critical software by November 1. The revived trade tensions have rattled Wall Street, sending Big Tech shares tumbling, worried foreign companies dependent on China's production of processed rare earths and rare earth magnets, and could derail a summit between Trump and Chinese President Xi Jinping tentatively scheduled for later this month.  RESPONDING TO TRUMP The Chinese commerce ministry's statement on Sunday was Beijing's first direct response to Trump's lengthy Truth Social post on Friday, where he accused Beijing of suddenly raising trade tensions after an uneasy truce was reached six months ago between the world's two largest economies, allowing them to trade goods without sky-high tariff rates. "Our relationship with China over the past six months has been a very good one, thereby making this move on Trade an even more surprising one," Trump said. The commerce ministry said in an equally lengthy statement that its export controls on rare-earth elements followed a series of U.S. measures since bilateral trade talks in Madrid last month. Beijing cited the addition of Chinese companies to a U.S. trade blacklist and Washington's imposition of port fees on China-linked ships as examples. "The U.S. actions have severely harmed China’s interests and undermined the atmosphere of bilateral economic and trade talks, and China is resolutely opposed to them," the ministry said. Beijing stopped short of explicitly connecting these U.S. actions to its export curbs on rare-earth elements, saying its curbs were motivated by concern about these materials' military applications at a time of "frequent military conflicts". It also held off on announcing a corresponding levy on China-bound U.S. imports, unlike earlier in the year, when both superpowers progressively ratcheted up tariffs on each other until the U.S. rate was 145% while China's was 125%. "Willful threats of high tariffs are not the right way to get along with China. China’s position on the trade war is consistent: we do not want it, but we are not afraid of it," the commerce ministry said, adding China would take corresponding measures if the U.S. did not correct its course. 'PATH FOR NEGOTIATIONS' China's decision not to immediately respond in kind to Trump's opening salvo in this latest round of trade tensions could leave the door open for both countries to negotiate a de-escalation, analysts said. "By clarifying the rationale behind its retaliatory measures, Beijing is also outlining a potential path forward for negotiations. The ball is now in the U.S. court," said Alfredo Montufar-Helu, managing director at strategic advisory firm GreenPoint. But Hutong Research said in a note on Saturday that if Beijing chooses not to respond to Trump's 100% tariff hike, it may signal that Beijing no longer prioritises a long-term deal with him, reflecting diminished confidence in his ability to restrain hawks or stick to commitments. "Key watchpoints now: Whether Beijing moves to freeze or complicate the TikTok sale, given its political symbolism. Proceeding with the sale under current conditions would be seen as a major concession," the research firm said. CHINA SAYS EXPORT CONTROLS ARE NOT EXPORT BANS The commerce ministry also countered Trump's narrative that China was using its dominance in processed rare earths and rare earth magnets to attack all countries, not just the U.S. "We have been contacted by other Countries who are extremely angry at this great trade hostility, which came out of nowhere," Trump said on Friday on Truth Social. China produces over 90% of the world's processed rare earths and rare earth magnets. The 17 rare earths are vital materials in products ranging from electric vehicles to aircraft engines and military radars. Exports of 12 of them are restricted after China's commerce ministry on Thursday added five – holmium, erbium, thulium, europium and ytterbium – along with related materials. The commerce ministry statement on Sunday sought to reassure foreign companies spooked by the latest export curbs, promising to promote compliant trade by granting general licenses and license exemptions. "China's export controls are not export bans," it said. "Any export applications for civilian use that comply with regulations will be approved, and relevant enterprises need not worry." (Reporting by Eduardo Baptista in Beijing and Selena Li in Hong Kong; Editing by William Mallard)

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