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Donald Trump’s newest warning to enforce an further 100% tariff on items imported from China has been described as a “classic case” of United States’ contradictory behavior, per the China’s leadership.

A official from China’s Commerce Ministry also stated that China could enact its own unrevealed “retaliatory steps” if the White House occupant executes his threat, adding that the country was “unafraid” of a potential trade conflict.

On Friday, Donald Trump hit back at Beijing’s move to reinforce its policies for exports of rare earths, accusing Beijing of “becoming very hostile” and attempting to hold the global community “hostage”.

He also vowed to withdraw from a planned summit with Chinese leader President Xi, which was arranged for a summit in the Republic of Korea later this month.

The former president’s remarks on last Friday shook financial markets, with the benchmark US stock index dropping over two and a half percent, marking its largest decline since last spring.

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

Earlier this year, the respective governments had reached an agreement to remove triple-digit tariffs on each other’s products, which had raised the prospect of trade halting between the two nations.

Consequently, US tariffs on products from China facing an additional import tax compared with the year’s onset, while items from the United States entering the Chinese market face a ten percent duty.

Beijing’s recent statements – published by the Commerce Ministry in the manner of official answers to media inquiries – reflected rhetoric from the height of the recent trade conflict.

They criticised US export restrictions on electronic components while defending China’s own restrictions on exports on key elements as “routine measures” to ensure state interests and that of every country.

The official remarked that for “an extended period”, the United States had “broadened the definition” of state security, exploited overseas sale restrictions and “adopted biased policies against the Chinese nation.

“Resorting to import duty warnings is not the correct approach to engage with China,” the spokesperson stated.

“Beijing’s stance” on a trade conflict has always been steady: we wish to avoid one, but we are unafraid of one.”

Last week, the Chinese government announced it was tightening foreign shipment restrictions on rare earths and additional substances essential to advanced tech manufacturing.

The action was viewed as a significant step, as the country refines about the vast majority of the world’s rare earths, which are used in products such as renewable energy components and smartphones.

Latest statements from both governments are being seen by observers as a means of enhancing bargaining power prior to future trade talks.

Remains uncertain whether a summit between the former president and Xi Jinping, planned at a high-level meeting in the Republic of Korea before month’s end, will go ahead.