🔗 Share this article

Donald Trump’s newest warning to enforce an additional full import duty on products from China has been labeled a “prime illustration” of United States’ contradictory behavior, according to the Beijing administration.

A Commerce Ministry spokesperson additionally remarked that Beijing could introduce its own unrevealed “retaliatory steps” if the American leader follows through on his pledge, emphasizing that the country was “not afraid” of a looming commercial battle.

On Friday, Trump responded at China’s decision to strengthen its regulations for exports of critical elements, charging China of “turning aggressive” and attempting to hold the international market “under its control”.

Additionally, he threatened to withdraw from a planned summit with Beijing’s head of state Xi, which was expected to take place during a meeting in Seoul before the month ends.

His statements on Friday unsettled global markets, with the S&P 500 share index closing down over two and a half percent, marking its biggest drop since last spring.

These statements reignited apprehensions of a trade war between the two economic giants.

In May, the respective governments had consented to remove high import duties on each other’s imports, which had raised the prospect of trade halting between the two nations.

As a result, United States levies on products from China facing an added import tax compared with the start of the year, while items from the United States entering the Chinese market are subject to a import levy.

The most recent comments from China – published by the Ministry of Commerce in the manner of official answers to journalist’s questions – echoed rhetoric from the peak of the ongoing trade dispute.

They criticised US export restrictions on electronic components while justifying China’s own overseas sale regulations on key elements as “routine measures” to ensure domestic safety and that of all nations.

The spokesperson said that for “an extended period”, the US had “broadened the definition” of national security, exploited overseas sale restrictions and “adopted discriminatory practices against the Chinese nation.

“Using” tariff threats is not the right way to engage with the Chinese government,” the spokesperson stated.

“The nation’s view” on a tariff war has always been unchanging: we are not seeking one, but we are unafraid of one.”

Recently, Beijing declared it was tightening overseas sale regulations on rare earths and additional substances vital for high-technology production.

This was seen as a key move, as the nation refines about 90% of the world’s rare earths, which are used in products such as photovoltaic modules and handheld devices.

Latest statements from both governments are being interpreted by observers as a strategy of enhancing bargaining power in preparation for forthcoming discussions.

It is unclear whether a talks between the former president and President Xi, planned at a high-level meeting in the Republic of Korea later this month, will go ahead.