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Donald Trump’s latest threat to enforce an further complete levy on products from China has been described as a “prime illustration” of US double standards, according to the China’s leadership.

A representative of the ministry also stated that China could enact its own undisclosed “countermeasures” if the US President carries out his warning, adding that the country was “fearless” of a possible commercial battle.

On Friday, the former president responded at the Chinese government’s action to strengthen its regulations for foreign shipments of rare earths, alleging China of “adopting a confrontational stance” and attempting to hold the world “hostage”.

Furthermore, he vowed to withdraw from a arranged talks with Chinese leader President Xi, which was arranged for a summit in South Korea in the coming weeks.

Trump’s comments on Friday unsettled stock exchanges, with the benchmark US stock index falling by nearly three percent, marking its biggest drop since earlier this year.

The president’s words revived concerns of a commercial dispute between the two economic giants.

In May, the both nations had reached an agreement to drop high import duties on each other’s goods, which had created the possibility of commerce ceasing between the two countries.

Consequently, American import duties on products from China facing an additional import tax compared with the start of the year, while US goods entering the country are subject to a ten percent duty.

China’s latest remarks – issued by the Commerce Ministry in the form of written responses to media inquiries – echoed language from the height of the ongoing trade dispute.

The remarks condemned US export restrictions on electronic components while defending China’s own export controls on rare earths as “routine measures” to safeguard domestic safety and that of the global community.

The spokesperson stated that for “a long time”, the United States had “expanded the interpretation” of domestic safety, abused export control measures and “adopted discriminatory practices against the Chinese nation.

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

“Beijing’s stance” on a tariff war has remained steady: we do not want one, but we are unafraid of one.”

Recently, Beijing announced it was tightening export controls on rare earths and additional substances vital for advanced tech manufacturing.

The action was viewed as a important measure, as the nation handles about 90% of the global rare earth supply, which are used in items such as photovoltaic modules and smartphones.

Latest statements from the US and China are being interpreted by some as a strategy of strengthening positions in preparation for forthcoming discussions.

Remains uncertain whether a talks between Donald Trump and President Xi, expected at a high-level meeting in South Korea in the coming weeks, will go ahead.