Trump says U.S. has much bigger leverage over China on magnets

""We have much bigger and better cards than they do," he said Monday. "If I played those cards, that would destroy China. I'm not going to play those cards.""

""We're heavy into the world of magnets now, only from a national security standpoint," Trump said. "But we have a powerful thing. It's airplane parts and many Boeing jets.""

""I sent them all of the parts so their planes can fly," the Republican said. "I could have held them back. I didn't do that because of the relationship I have. And they're flying.""

The U.S. asserts greater trade leverage over China by pointing to aircraft parts and Boeing jet supplies as countermeasures to rare-earth restrictions. China halted most shipments of rare-earth magnets to the U.S. in April, leveraging a roughly 90% share of global production to pressure American factories. Beijing agreed to normalize shipments as part of a trade truce, with U.S. flows reaching a six-month high in July. China plans to send a key trade negotiator to the U.S., indicating potential resumption of talks. Approximately 200 Chinese jets were grounded for lack of Boeing parts; those parts were supplied so the planes could fly. A U.S. visit to China is expected later this year or shortly thereafter.

Read at Fortune Asia