🔗 Share this article

The former US president’s latest ultimatum to introduce an extra 100% tariff on Chinese goods has been labeled a “classic case” of American hypocrisy, according to the Chinese government.

A official from China’s Commerce Ministry further commented that the nation could introduce its own unrevealed “countermeasures” if the White House occupant executes his warning, emphasizing that the country was “unafraid” of a looming commercial battle.

Last Friday, Donald Trump responded at the Chinese government’s action to reinforce its policies for foreign shipments of rare earths, alleging the Chinese leadership of “adopting a confrontational stance” and attempting to hold the international market “captive”.

He also warned to withdraw from a scheduled meeting with Beijing’s head of state President Xi, which was set for a meeting in South Korea later this month.

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

His comments reignited fears of a trade war between the United States and China.

This past spring, the both nations had reached an agreement to drop triple-digit tariffs on each other’s goods, which had led to concerns of commerce ceasing between the two nations.

As a result, American import duties on Chinese goods facing an extra 30% levy compared with the year’s onset, while US goods entering the country incur a 10% tariff.

Beijing’s recent statements – released by the Commerce Ministry in the format of formal replies to journalist’s questions – reflected language from the zenith of the recent trade conflict.

Officials denounced US export restrictions on semiconductors and chips while justifying the country’s own overseas sale regulations on rare earth minerals as “routine measures” to ensure state interests and that of all nations.

The spokesperson stated that for “many years”, the US had “broadened the definition” of domestic safety, misused export control measures and “adopted unfair treatments against the Chinese nation.

“Turning to” tariff threats is not the correct approach to deal with China,” the official stated.

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

The previous week, the Chinese government announced it was tightening export controls on key elements and further resources critical for cutting-edge industry.

The action was viewed as a significant step, as the state processes about 90% of the world’s rare earths, which are employed in products such as solar panels and mobile phones.

The recent comments from both governments are being seen by observers as a method of strengthening positions prior to forthcoming discussions.

Remains uncertain whether a meeting between the former president and Xi Jinping, expected at a summit in the Republic of Korea later this month, will still proceed.