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Trump’s latest ultimatum to enforce an additional complete levy on products from China has been labeled a “typical example” of American hypocrisy, as stated by the China’s leadership.

A representative of the ministry further commented that China could enact its own unspecified “countermeasures” if the White House occupant carries out his warning, adding that the country was “fearless” of a potential trade war.

On Friday, Donald Trump responded at Beijing’s move to reinforce its rules for exports of critical elements, charging Beijing of “turning aggressive” and attempting to hold the world “under its control”.

Additionally, he warned to pull out of a arranged talks with Beijing’s head of state President Xi, which was set for a conference in Seoul later this month.

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

His comments revived fears of a commercial dispute between the two economic giants.

In May, the respective governments had reached an agreement to remove significant levies on each other’s products, which had raised the prospect of trade halting between the two countries.

Consequently, US tariffs on Chinese goods facing an extra 30% levy compared with the start of the year, while American products entering China face a import levy.

The most recent comments from China – released by the relevant government department in the format of formal replies to journalist’s questions – reflected rhetoric from the peak of the recent trade conflict.

They criticised American limits on exports on chips and semi-conductors while supporting the country’s own overseas sale regulations on rare earth minerals as “normal actions” to ensure state interests and that of all nations.

The official stated that for “a long time”, the US had “overstretched the concept of national security, abused foreign shipment regulations and “implemented” discriminatory practices against the Chinese nation.

“Turning to” trade levy ultimatums is not the correct approach to interact with Beijing,” the official stated.

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

The previous week, the Chinese government declared it was tightening overseas sale regulations on rare earths and other materials essential to cutting-edge industry.

This move was regarded as a important measure, as the state refines about ninety percent of the world’s rare earths, which are used in goods such as photovoltaic modules and smartphones.

New remarks from both governments are being interpreted by some as a strategy of enhancing bargaining power ahead of future trade talks.

Remains uncertain whether a talks between Trump and President Xi, planned at a conference in the Republic of Korea in the coming weeks, will go ahead.