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Donald Trump’s newest ultimatum to introduce an extra 100% tariff on Chinese goods has been described as a “classic case” of United States’ contradictory behavior, according to the Chinese government.

A official from China’s Commerce Ministry further commented that Beijing could introduce its own unspecified “responsive actions” if the US President carries out his warning, emphasizing that the country was “not afraid” of a looming trade war.

On Friday, Trump hit back at China’s decision to reinforce its policies for overseas sales of rare earths, accusing Beijing of “becoming very hostile” and attempting to hold the world “hostage”.

Additionally, he threatened to pull out of a planned meeting with Chinese leader Xi Jinping, which was set for a conference in Seoul later this month.

His statements on that day unsettled stock exchanges, with the S&P 500 falling by nearly three percent, marking its steepest fall since April.

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

This past spring, the respective governments had reached an agreement to remove triple-digit tariffs on each other’s products, which had created the possibility of trade halting between the two countries.

As a result, United States levies on Chinese imports subject to an additional import tax compared with the start of the year, while items from the United States entering the country incur a ten percent duty.

China’s latest remarks – released by the Commerce Ministry in the manner of written responses to journalist’s questions – echoed rhetoric from the height of the ongoing trade dispute.

The remarks condemned American limits on exports on chips and semi-conductors while defending Beijing’s overseas sale regulations on rare earth minerals as “normal actions” to protect domestic safety and that of all nations.

Their representative remarked that for “an extended period”, the America had “expanded the interpretation” of state security, misused overseas sale restrictions and “adopted discriminatory practices against Beijing.

“Using” trade levy ultimatums is not the proper method to deal with the Chinese government,” the official said.

“China’s position on a trade conflict has remained unchanging: we do not want one, but we are unafraid of one.”

Last week, the Chinese government revealed it was reinforcing foreign shipment restrictions on key elements and additional substances vital for cutting-edge industry.

This move was regarded as a key move, as the country handles about ninety percent of the planet’s critical minerals, which are employed in items such as renewable energy components and handheld devices.

New remarks from Washington and Beijing are being interpreted by observers as a strategy of bolstering negotiating stances ahead of future trade talks.

Is not yet known whether a talks between Donald Trump and China’s leader, planned at a conference in Seoul before month’s end, will still proceed.