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Trump’s latest ultimatum to impose an extra full import duty on products from China has been labeled a “classic case” of United States’ contradictory behavior, as stated by the China’s leadership.

A Commerce Ministry spokesperson also stated that the nation could implement its own unrevealed “retaliatory steps” if the White House occupant follows through on his pledge, noting that the country was “unafraid” of a potential trade conflict.

Last Friday, Trump responded at Beijing’s move to reinforce its policies for overseas sales of rare earths, accusing Beijing of “becoming very hostile” and attempting to hold the global community “captive”.

Additionally, he threatened to cancel a planned summit with Beijing’s head of state Xi Jinping, which was arranged for a conference in Seoul in the coming weeks.

His statements on Friday rattled global markets, with the benchmark US stock index dropping 2.7%, marking its largest decline since earlier this year.

The president’s words renewed concerns of a commercial dispute between the US and China.

This past spring, the two sides had consented to eliminate triple-digit tariffs on each other’s imports, which had led to concerns of trade halting between the economic powers.

Consequently, United States levies on Chinese goods incurring an additional import tax compared with the beginning of 2025, while American products entering the Chinese market face a import levy.

China’s latest remarks – released by the Commerce Ministry in the form of official answers to press queries – mirrored terminology from the height of the latest commercial tensions.

They criticised American limits on exports on semiconductors and chips while supporting China’s own overseas sale regulations on rare earths as “standard procedures” to safeguard national security and that of the global community.

The spokesperson said that for “many years”, the United States had “broadened the definition” of domestic safety, abused overseas sale restrictions and “adopted discriminatory practices against Beijing.

“Resorting to tariff threats is not the correct approach to interact with Beijing,” the official commented.

“China’s position on a tariff war has always been steady: we do not want one, but we are unafraid of one.”

The previous week, China announced it was tightening overseas sale regulations on rare earth minerals and additional substances critical for high-technology production.

The action was viewed as a significant step, as the nation refines about ninety percent of the planet’s critical minerals, which are employed in products such as photovoltaic modules and handheld devices.

Latest statements from the US and China are being interpreted by analysts as a strategy of enhancing bargaining power in preparation for future trade talks.

Is not yet known whether a summit between the former president and President Xi, planned at a conference in South Korea before month’s end, will still proceed.