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The former US president’s newest warning to enforce an extra complete levy on Chinese goods has been labeled a “prime illustration” of American hypocrisy, per the Chinese government.

A official from China’s Commerce Ministry further commented that Beijing could introduce its own undisclosed “countermeasures” if the White House occupant executes his threat, noting that the country was “not afraid” of a possible commercial battle.

On Friday, Donald Trump hit back at the Chinese government’s action to strengthen its rules for overseas sales of rare earth minerals, charging China of “adopting a confrontational stance” and attempting to hold the world “hostage”.

He also threatened to cancel a scheduled meeting with Chinese leader President Xi, which was expected to take place during a summit in Seoul before the month ends.

The former president’s remarks on Friday shook stock exchanges, with the S&P 500 closing down over two and a half percent, marking its biggest drop since earlier this year.

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

In May, the respective governments had agreed to remove significant levies on each other’s products, which had led to concerns of bilateral trade stopping between the economic powers.

As a result, US tariffs on Chinese goods subject to an additional import tax compared with the start of the year, while US goods entering the Chinese market incur a import levy.

China’s latest remarks – published by the relevant government department in the form of written responses to journalist’s questions – echoed terminology from the zenith of the latest commercial tensions.

They criticised United States controls on electronic components while defending the country’s own overseas sale regulations on rare earths as “standard procedures” to protect domestic safety and that of the global community.

The spokesperson remarked that for “a long time”, the United States had “overstretched the concept of domestic safety, exploited export control measures and “enforced” biased policies against Beijing.

“Using” import duty warnings is not the correct approach to deal with Beijing,” the spokesperson stated.

“The nation’s view” on a trade conflict has always been unchanging: we wish to avoid one, but we are fearless of one.”

Recently, the Chinese government declared it was strengthening foreign shipment restrictions on rare earth minerals and further resources vital for advanced tech manufacturing.

This move was regarded as a key move, as the nation handles about the vast majority of the world’s rare earths, which are employed in items such as photovoltaic modules and handheld devices.

Latest statements from the US and China are being interpreted by some as a method of strengthening positions ahead of forthcoming discussions.

Is not yet known whether a meeting between Donald Trump and Xi Jinping, scheduled at a summit in the Republic of Korea in the coming weeks, will take place as planned.