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Donald Trump’s most recent warning to introduce an further complete levy on products from China has been called a “prime illustration” of American hypocrisy, as stated by the Beijing administration.

A representative of the ministry additionally remarked that China could introduce its own unspecified “retaliatory steps” if the American leader carries out his pledge, noting that the country was “unafraid” of a looming trade war.

On Friday, Donald Trump hit back at the Chinese government’s action to strengthen its regulations for exports of rare earths, charging China of “adopting a confrontational stance” and attempting to hold the world “under its control”.

Furthermore, he threatened to withdraw from a arranged summit with Chinese leader President Xi, which was expected to take place during a summit in Seoul later this month.

His statements on last Friday unsettled stock exchanges, with the S&P 500 falling by nearly three percent, marking its largest decline since last spring.

The president’s words revived fears of a trade war between the two economic giants.

Earlier this year, the respective governments had agreed to eliminate high import duties on each other’s goods, which had created the possibility of trade halting between the economic powers.

Consequently, United States levies on products from China subject to an additional import tax compared with the beginning of 2025, while US goods entering the Chinese market face a 10% tariff.

Beijing’s recent statements – issued by the Ministry of Commerce in the manner of written responses to press queries – mirrored terminology from the height of the recent trade conflict.

They criticised American limits on exports on chips and semi-conductors while justifying China’s own export controls on rare earths as “normal actions” to ensure state interests and that of the global community.

Their representative said that for “an extended period”, the America had “broadened the definition” of domestic safety, exploited foreign shipment regulations and “enforced” biased policies against China.

“Using” import duty warnings is not the right way to engage with Beijing,” the spokesperson stated.

“Beijing’s stance” on a tariff war has remained unchanging: we are not seeking one, but we are unafraid of one.”

Recently, the Chinese government declared it was tightening overseas sale regulations on rare earths and other materials vital for advanced tech manufacturing.

This move was regarded as a key move, as the state processes about 90% of the world’s rare earths, which are used in goods such as photovoltaic modules and mobile phones.

Latest statements from Washington and Beijing are being interpreted by observers as a strategy of bolstering negotiating stances ahead of forthcoming discussions.

It is unclear whether a meeting between Donald Trump and China’s leader, scheduled at a summit in South Korea in the coming weeks, will still proceed.