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The former US president’s latest threat to introduce an additional complete levy on products from China has been called a “classic case” of United States’ contradictory behavior, according to the Beijing administration.

A official from China’s Commerce Ministry also stated that the nation could implement its own unspecified “retaliatory steps” if the American leader executes his threat, noting that the country was “not afraid” of a potential trade war.

Last Friday, Donald Trump retaliated at China’s decision to tighten its rules for foreign shipments of rare earth minerals, alleging China of “turning aggressive” and attempting to hold the world “under its control”.

Additionally, he threatened to cancel a arranged summit with China’s President President Xi, which was set for a meeting in the Republic of Korea in the coming weeks.

Trump’s comments on Friday unsettled financial markets, with the S&P 500 share index dropping over two and a half percent, marking its largest decline since earlier this year.

His comments renewed fears of a trade conflict between the US and China.

Earlier this year, the both nations had reached an agreement to drop significant levies on each other’s imports, which had raised the prospect of bilateral trade stopping between the economic powers.

Consequently, US tariffs on Chinese goods incurring an added import tax compared with the year’s onset, while American products entering China face a ten percent duty.

Beijing’s recent statements – released by the Commerce Ministry in the manner of written responses to media inquiries – reflected terminology from the peak of the latest commercial tensions.

They criticised United States controls on semiconductors and chips while justifying China’s own export controls on key elements as “routine measures” to protect national security and that of the global community.

The official said that for “a long time”, the United States had “overstretched the concept of state security, misused export control measures and “adopted biased policies against China.

“Turning to” trade levy ultimatums is not the right way to interact with Beijing,” their representative commented.

“The nation’s view” on a import duty dispute has remained steady: we are not seeking one, but we are not afraid of one.”

The previous week, Beijing declared it was tightening export controls on key elements and other materials critical for high-technology production.

This was seen as a key move, as the nation refines about 90% of the planet’s critical minerals, which are employed in items such as photovoltaic modules and smartphones.

The recent comments from both governments are being interpreted by some as a strategy of strengthening positions in preparation for upcoming negotiations.

It is unclear whether a meeting between Trump and President Xi, planned at a conference in Seoul in the coming weeks, will still proceed.