🔗 Share this article

The former US president’s most recent ultimatum to impose an extra full import duty on Chinese goods has been called a “classic case” of American hypocrisy, as stated by the Chinese government.

A Commerce Ministry spokesperson also stated that China could enact its own unspecified “countermeasures” if the American leader follows through on his threat, emphasizing that the country was “fearless” of a potential trade conflict.

On Friday, Donald Trump retaliated at Beijing’s move to reinforce its rules for exports of rare earth minerals, charging the Chinese leadership of “adopting a confrontational stance” and attempting to hold the world “under its control”.

Additionally, he warned to pull out of a scheduled summit with Beijing’s head of state Xi Jinping, which was expected to take place during a conference in South Korea before the month ends.

Trump’s comments on last Friday unsettled financial markets, with the S&P 500 closing down 2.7%, marking its steepest fall since last spring.

His comments revived apprehensions of a commercial dispute between the US and China.

Earlier this year, the two sides had consented to eliminate significant levies on each other’s products, which had raised the prospect of bilateral trade stopping between the economic powers.

This left, United States levies on products from China subject to an extra 30% levy compared with the year’s onset, while items from the United States entering the Chinese market incur a ten percent duty.

The most recent comments from China – published by the relevant government department in the form of written responses to media inquiries – reflected language from the height of the ongoing trade dispute.

The remarks condemned US export restrictions on semiconductors and chips while supporting the country’s own restrictions on exports on rare earth minerals as “routine measures” to protect national security and that of every country.

Their representative stated that for “an extended period”, the America had “overstretched the concept of national security, abused overseas sale restrictions and “enforced” biased policies against China.

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

“The nation’s view” on a trade conflict has always been consistent: we do not want one, but we are not afraid of one.”

The previous week, Beijing declared it was strengthening overseas sale regulations on rare earth minerals and further resources critical for high-technology production.

This move was regarded as a significant step, as the state refines about ninety percent of the world’s rare earths, which are utilized in goods such as renewable energy components and handheld devices.

The recent comments from both governments are being seen by observers as a means of enhancing bargaining power ahead of future trade talks.

Is not yet known whether a meeting between the former president and President Xi, expected at a summit in South Korea in the coming weeks, will go ahead.