🔗 Share this article

The former US president’s newest threat to introduce an further 100% tariff on products from China has been called a “typical example” of United States’ contradictory behavior, per the Chinese government.

A Commerce Ministry spokesperson also stated that China could enact its own unspecified “responsive actions” if the US President executes his pledge, adding that the country was “fearless” of a looming commercial battle.

Last Friday, Trump responded at China’s decision to reinforce its regulations for overseas sales of rare earths, alleging China of “becoming very hostile” and attempting to hold the international market “captive”.

Additionally, he threatened to pull out of a planned meeting with Beijing’s head of state Xi Jinping, which was arranged for a conference in Seoul later this month.

His statements on Friday rattled financial markets, with the benchmark US stock index falling by 2.7%, marking its largest decline since April.

His comments reignited apprehensions of a trade conflict between the United States and China.

This past spring, the two sides had reached an agreement to eliminate triple-digit tariffs on each other’s goods, which had led to concerns of bilateral trade stopping between the two nations.

Consequently, American import duties on Chinese goods facing an added import tax compared with the beginning of 2025, while US goods entering the country face a import levy.

Beijing’s recent statements – released by the relevant government department in the format of official answers to press queries – reflected rhetoric from the peak of the ongoing trade dispute.

The remarks condemned US export restrictions on electronic components while defending Beijing’s restrictions on exports on rare earths as “standard procedures” to ensure domestic safety and that of the global community.

The spokesperson stated that for “many years”, the US had “expanded the interpretation” of state security, abused foreign shipment regulations and “enforced” discriminatory practices against Beijing.

“Resorting to trade levy ultimatums is not the right way to engage with the Chinese government,” their representative said.

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

Last week, Beijing announced it was tightening overseas sale regulations on rare earth minerals and further resources critical for advanced tech manufacturing.

This was seen as a significant step, as the country processes about the vast majority of the world’s rare earths, which are used in goods such as renewable energy components and smartphones.

The recent comments from both governments are being seen by some as a strategy of strengthening positions ahead of forthcoming discussions.

Remains uncertain whether a summit between Trump and Xi Jinping, planned at a conference in the Republic of Korea in the coming weeks, will go ahead.