China Accuses US of ‘Hypocritical Policies’ Concerning Tariff Threat

Donald Trump’s latest warning to enforce an additional 100% tariff on products from China has been labeled a “prime illustration” of United States’ contradictory behavior, according to the China’s leadership.

A representative of the ministry also stated that the nation could introduce its own unspecified “responsive actions” if the American leader carries out his threat, adding that the country was “not afraid” of a looming commercial battle.

Last Friday, Trump retaliated at the Chinese government’s action to tighten its rules for exports of rare earths, accusing the Chinese leadership of “adopting a confrontational stance” and attempting to hold the global community “under its control”.

Furthermore, he vowed to pull out of a scheduled meeting with Chinese leader President Xi, which was expected to take place during a meeting in the Republic of Korea in the coming weeks.

The former president’s remarks on last Friday shook stock exchanges, with the benchmark US stock index falling by 2.7%, marking its biggest drop since April.

These statements renewed concerns of a trade conflict between the United States and China.

In May, the respective governments had reached an agreement to drop high import duties on each other’s products, which had created the possibility of bilateral trade stopping between the two countries.

This left, American import duties on Chinese imports subject to an added import tax compared with the year’s onset, while US goods entering the country incur a import levy.

China’s latest remarks – issued by the relevant government department in the format of official answers to media inquiries – reflected terminology from the zenith of the recent trade conflict.

The remarks condemned American limits on exports on chips and semi-conductors while justifying the country’s own restrictions on exports on key elements as “standard procedures” to safeguard state interests and that of all nations.

The official said that for “a long time”, the America had “overstretched the concept of state security, abused foreign shipment regulations and “enforced” biased policies against the Chinese nation.

“Turning to” trade levy ultimatums is not the right way to engage with the Chinese government,” the spokesperson said.

“Beijing’s stance” on a tariff war has remained unchanging: we wish to avoid one, but we are fearless of one.”

Last week, China declared it was tightening overseas sale regulations on rare earth minerals and further resources essential to advanced tech manufacturing.

The action was viewed as a significant step, as the country processes about 90% of the planet’s critical minerals, which are employed in items such as solar panels and smartphones.

The recent comments from Washington and Beijing are being interpreted by analysts as a strategy of strengthening positions in preparation for future trade talks.

Remains uncertain whether a talks between Donald Trump and China’s leader, scheduled at a high-level meeting in South Korea before month’s end, will still proceed.