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Donald Trump’s most recent ultimatum to impose an further full import duty on items imported from China has been labeled a “prime illustration” of American hypocrisy, as stated by the China’s leadership.

A Commerce Ministry spokesperson also stated that Beijing could enact its own unrevealed “responsive actions” if the American leader follows through on his threat, emphasizing that the country was “fearless” of a potential trade conflict.

On Friday, Trump responded at the Chinese government’s action to reinforce its regulations for foreign shipments of rare earths, accusing China of “turning aggressive” and attempting to hold the world “captive”.

Additionally, he threatened to pull out of a scheduled talks with China’s President Xi Jinping, which was set for a conference in the Republic of Korea in the coming weeks.

The former president’s remarks on that day rattled financial markets, with the S&P 500 dropping 2.7%, marking its steepest fall since earlier this year.

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

Earlier this year, the both nations had agreed to remove high import duties on each other’s products, which had raised the prospect of trade halting between the two nations.

Consequently, US tariffs on Chinese goods incurring an added 30% levy compared with the start of the year, while American products entering the country are subject to a import levy.

China’s latest remarks – released by the Ministry of Commerce in the format of official answers to press queries – mirrored language from the height of the recent trade conflict.

Officials denounced United States controls on semiconductors and chips while defending China’s own restrictions on exports on key elements as “routine measures” to safeguard national security and that of all nations.

The spokesperson stated that for “many years”, the US had “overstretched the concept of national security, misused export control measures and “implemented” unfair treatments against Beijing.

“Resorting to tariff threats is not the right way to engage with Beijing,” the spokesperson commented.

“China’s position on a trade conflict has always been consistent: we do not want one, but we are fearless of one.”

Recently, China declared it was tightening foreign shipment restrictions on key elements and additional substances vital for high-technology production.

This move was regarded as a key move, as the country refines about 90% of the global rare earth supply, which are employed in goods such as photovoltaic modules and mobile phones.

The recent comments from the US and China are being viewed by some as a method of bolstering negotiating stances ahead of future trade talks.

Is not yet known whether a talks between Trump and China’s leader, planned at a high-level meeting in Seoul later this month, will still proceed.