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The former US president’s latest threat to impose an further 100% tariff on Chinese goods has been labeled a “prime illustration” of United States’ contradictory behavior, according to the China’s leadership.

A representative of the ministry further commented that Beijing could enact its own undisclosed “countermeasures” if the American leader executes his warning, noting that the country was “unafraid” of a potential commercial battle.

On Friday, Donald Trump responded at China’s decision to tighten its policies for foreign shipments of rare earths, alleging the Chinese leadership of “adopting a confrontational stance” and attempting to hold the world “hostage”.

Furthermore, he vowed to pull out of a planned summit with Beijing’s head of state Xi Jinping, which was set for a conference in South Korea later this month.

Trump’s comments on that day unsettled stock exchanges, with the S&P 500 share index dropping over two and a half percent, marking its largest decline since earlier this year.

The president’s words reignited apprehensions of a commercial dispute between the United States and China.

In May, the both nations had consented to drop significant levies on each other’s goods, which had raised the prospect of bilateral trade stopping between the two countries.

Consequently, US tariffs on products from China incurring an additional import tax compared with the start of the year, while US goods entering China face a 10% tariff.

China’s latest remarks – released by the relevant government department in the manner of formal replies to media inquiries – echoed rhetoric from the height of the recent trade conflict.

They criticised United States controls on semiconductors and chips while supporting Beijing’s export controls on rare earths as “normal actions” to safeguard state interests and that of the global community.

The official said that for “an extended period”, the US had “broadened the definition” of state security, abused overseas sale restrictions and “implemented” unfair treatments against the Chinese nation.

“Turning to” tariff threats is not the correct approach to engage with the Chinese government,” the spokesperson said.

“Beijing’s stance” on a import duty dispute has always been consistent: we do not want one, but we are fearless of one.”

The previous week, China announced it was reinforcing export controls on rare earth minerals and other materials essential to advanced tech manufacturing.

This move was regarded as a significant step, as the state refines about 90% of the planet’s critical minerals, which are employed in goods such as renewable energy components and smartphones.

The recent comments from the US and China are being viewed by some as a means of strengthening positions in preparation for upcoming negotiations.

It is unclear whether a summit between Donald Trump and President Xi, expected at a summit in Seoul before month’s end, will take place as planned.