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Trump’s newest ultimatum to introduce an additional complete levy on products from China has been described as a “prime illustration” of American hypocrisy, as stated by the Chinese government.

A Commerce Ministry spokesperson additionally remarked that the nation could enact its own unspecified “retaliatory steps” if the White House occupant follows through on his threat, emphasizing that the country was “not afraid” of a potential commercial battle.

Last Friday, Donald Trump retaliated at Beijing’s move to strengthen its rules for exports of rare earth minerals, alleging China of “adopting a confrontational stance” and attempting to hold the global community “hostage”.

Additionally, he threatened to withdraw from a scheduled meeting with Chinese leader Xi, which was set for a summit in Seoul later this month.

Trump’s comments on last Friday unsettled financial markets, with the S&P 500 closing down over two and a half percent, marking its largest decline since April.

The president’s words reignited concerns of a trade war between the US and China.

In May, the respective governments had reached an agreement to eliminate significant levies on each other’s goods, which had raised the prospect of bilateral trade stopping between the two nations.

This left, American import duties on products from China subject to an additional 30% levy compared with the beginning of 2025, while items from the United States entering the country face a import levy.

China’s latest remarks – published by the Ministry of Commerce in the format of official answers to journalist’s questions – reflected rhetoric from the zenith of the latest commercial tensions.

Officials denounced US export restrictions on chips and semi-conductors while supporting the country’s own overseas sale regulations on key elements as “normal actions” to protect domestic safety and that of the global community.

The spokesperson said that for “an extended period”, the United States had “expanded the interpretation” of domestic safety, exploited overseas sale restrictions and “implemented” biased policies against Beijing.

“Resorting to import duty warnings is not the proper method to deal with the Chinese government,” the official commented.

“Beijing’s stance” on a trade conflict has always been consistent: we wish to avoid one, but we are fearless of one.”

Recently, China announced it was reinforcing export controls on rare earth minerals and additional substances essential to high-technology production.

The action was viewed as a key move, as the nation handles about the vast majority of the global rare earth supply, which are employed in items such as photovoltaic modules and mobile phones.

Latest statements from the US and China are being interpreted by some as a strategy of strengthening positions ahead of forthcoming discussions.

It is unclear whether a talks between Donald Trump and President Xi, planned at a summit in South Korea before month’s end, will go ahead.