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Donald Trump’s latest warning to enforce an extra complete levy on products from China has been described as a “typical example” of United States’ contradictory behavior, per the China’s leadership.

A Commerce Ministry spokesperson also stated that the nation could implement its own unspecified “responsive actions” if the White House occupant carries out his pledge, emphasizing that the country was “not afraid” of a looming commercial battle.

On Friday, Trump retaliated at Beijing’s move to tighten its policies for overseas sales of rare earths, alleging Beijing of “adopting a confrontational stance” and attempting to hold the world “under its control”.

Additionally, he threatened to pull out of a arranged meeting with China’s President President Xi, which was arranged for a summit in the Republic of Korea later this month.

His statements on last Friday rattled financial markets, with the S&P 500 falling by over two and a half percent, marking its largest decline since earlier this year.

The president’s words renewed concerns of a trade conflict between the United States and China.

In May, the both nations had agreed to drop high import duties on each other’s goods, which had created the possibility of bilateral trade stopping between the two nations.

This left, American import duties on Chinese goods subject to an added 30% levy compared with the start of the year, while US goods entering China are subject to a 10% tariff.

China’s latest remarks – issued by the relevant government department in the manner of formal replies to media inquiries – echoed rhetoric from the height of the latest commercial tensions.

They criticised American limits on exports on chips and semi-conductors while defending the country’s own overseas sale regulations on rare earth minerals as “standard procedures” to ensure state interests and that of the global community.

Their representative stated that for “many years”, the US had “overstretched the concept of domestic safety, misused export control measures and “enforced” discriminatory practices against Beijing.

“Turning to” import duty warnings is not the proper method to engage with Beijing,” their representative commented.

“China’s position on a trade conflict has remained consistent: we are not seeking one, but we are unafraid of one.”

Recently, China revealed it was strengthening export controls on rare earth minerals and additional substances critical for high-technology production.

The action was viewed as a key move, as the state handles about 90% of the global rare earth supply, which are used in goods such as renewable energy components and smartphones.

The recent comments from the US and China are being interpreted by observers as a means of enhancing bargaining power in preparation for future trade talks.

It is unclear whether a summit between the former president and China’s leader, scheduled at a conference in South Korea before month’s end, will still proceed.