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Donald Trump’s latest threat to enforce an additional complete levy on Chinese goods has been labeled a “prime illustration” of United States’ contradictory behavior, as stated by the China’s leadership.

A Commerce Ministry spokesperson additionally remarked that Beijing could enact its own undisclosed “responsive actions” if the White House occupant executes his pledge, adding that the country was “fearless” of a looming trade conflict.

On Friday, the former president hit back at Beijing’s move to strengthen its rules for overseas sales of rare earths, charging China of “turning aggressive” and attempting to hold the international market “captive”.

He also warned to withdraw from a arranged talks with Chinese leader Xi, which was set for a summit in South Korea before the month ends.

His statements on that day unsettled global markets, with the benchmark US stock index dropping nearly three percent, marking its biggest drop since last spring.

These statements reignited fears of a trade war between the US and China.

Earlier this year, the two sides had consented to remove high import duties on each other’s imports, which had created the possibility of commerce ceasing between the two nations.

This left, US tariffs on Chinese imports incurring an extra thirty percent tariff compared with the start of the year, while items from the United States entering the country face a import levy.

The most recent comments from China – published by the Commerce Ministry in the manner of formal replies to journalist’s questions – mirrored language from the height of the recent trade conflict.

The remarks condemned US export restrictions on chips and semi-conductors while supporting China’s own overseas sale regulations on rare earth minerals as “routine measures” to protect domestic safety and that of all nations.

The official said that for “a long time”, the US had “expanded the interpretation” of domestic safety, abused export control measures and “implemented” discriminatory practices against China.

“Using” import duty warnings is not the correct approach to deal with China,” the official commented.

“China’s position on a tariff war has always been consistent: we are not seeking one, but we are unafraid of one.”

Last week, China revealed it was tightening export controls on rare earths and other materials critical for high-technology production.

This move was regarded as a important measure, as the state processes about the vast majority of the world’s rare earths, which are employed in goods such as photovoltaic modules and smartphones.

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

Is not yet known whether a talks between the former president and President Xi, expected at a summit in the Republic of Korea later this month, will go ahead.