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The former US president’s newest ultimatum to impose an additional complete levy on Chinese goods has been described as a “classic case” of American hypocrisy, according to the Chinese government.

A official from China’s Commerce Ministry also stated that Beijing could implement its own undisclosed “responsive actions” if the US President follows through on his pledge, noting that the country was “fearless” of a looming trade conflict.

This past Friday, the former president hit back at the Chinese government’s action to tighten its regulations for overseas sales of rare earths, accusing the Chinese leadership of “turning aggressive” and attempting to hold the world “under its control”.

Additionally, he threatened to cancel a scheduled meeting with Beijing’s head of state President Xi, which was arranged for a meeting in the Republic of Korea before the month ends.

The former president’s remarks on last Friday unsettled financial markets, with the S&P 500 falling by 2.7%, marking its largest decline since April.

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

This past spring, the both nations had reached an agreement to remove significant levies on each other’s goods, which had led to concerns of bilateral trade stopping between the two nations.

This left, United States levies on Chinese goods incurring an extra thirty percent tariff compared with the beginning of 2025, while American products entering China are subject to a 10% tariff.

Beijing’s recent statements – released by the relevant government department in the format of formal replies to media inquiries – mirrored language from the peak of the latest commercial tensions.

The remarks condemned United States controls on electronic components while justifying the country’s own export controls on rare earth minerals as “normal actions” to safeguard state interests and that of every country.

Their representative remarked that for “an extended period”, the United States had “broadened the definition” of state security, misused foreign shipment regulations and “adopted unfair treatments against Beijing.

“Resorting to import duty warnings is not the proper method to interact with the Chinese government,” the official stated.

“The nation’s view” on a tariff war has consistently been consistent: we are not seeking one, but we are fearless of one.”

Last week, China announced it was strengthening export controls on rare earths and additional substances essential to cutting-edge industry.

The action was viewed as a important measure, as the country refines about the vast majority of the world’s rare earths, which are employed in products such as photovoltaic modules and smartphones.

Latest statements from both governments are being interpreted by observers as a strategy of bolstering negotiating stances prior to upcoming negotiations.

Remains uncertain whether a summit between the former president and President Xi, planned at a high-level meeting in the Republic of Korea later this month, will take place as planned.