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Donald Trump’s newest warning to enforce an further complete levy on Chinese goods has been called a “classic case” of US double standards, according to the Beijing administration.

A official from China’s Commerce Ministry further commented that Beijing could enact its own unspecified “responsive actions” if the US President follows through on his pledge, emphasizing that the country was “not afraid” of a looming commercial battle.

On Friday, the former president responded at China’s decision to strengthen its rules for overseas sales of rare earth minerals, accusing China of “adopting a confrontational stance” and attempting to hold the world “captive”.

Additionally, he vowed to pull out of a scheduled talks with Chinese leader President Xi, which was set for a meeting in the Republic of Korea later this month.

His statements on last Friday unsettled stock exchanges, with the S&P 500 share index closing down 2.7%, marking its steepest fall since earlier this year.

The president’s words reignited fears of a trade war between the US and China.

In May, the respective governments had consented to eliminate high import duties on each other’s goods, which had raised the prospect of trade halting between the economic powers.

This left, United States levies on Chinese goods incurring an additional import tax compared with the start of the year, while American products entering the Chinese market incur a import levy.

China’s latest remarks – published by the relevant government department in the format of official answers to media inquiries – reflected rhetoric from the zenith of the latest commercial tensions.

The remarks condemned American limits on exports on electronic components while defending the country’s own overseas sale regulations on key elements as “standard procedures” to protect domestic safety and that of every country.

Their representative remarked that for “a long time”, the America had “broadened the definition” of domestic safety, misused overseas sale restrictions and “adopted discriminatory practices against Beijing.

“Turning to” trade levy ultimatums is not the right way to engage with China,” the official commented.

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

The previous week, the Chinese government declared it was reinforcing foreign shipment restrictions on rare earth minerals and other materials critical for high-technology production.

This was seen as a important measure, as the country refines about the vast majority of the planet’s critical minerals, which are employed in items such as renewable energy components and handheld devices.

The recent comments from Washington and Beijing are being seen by observers as a method of strengthening positions prior to future trade talks.

It is unclear whether a summit between the former president and President Xi, expected at a conference in South Korea before month’s end, will still proceed.