China has issued a stern warning to Washington, vowing to implement countermeasures should United States President, Donald Trump, follow through on his threat to impose new 100% tariffs on Chinese goods.
Trump’s threat came shortly after China introduced a series of export restrictions on rare earth minerals, heightening tensions between the two economic superpowers and jeopardizing months of progress in trade negotiations.
“Resorting to threats of high tariffs is not the right way to engage with China,” a spokesperson for the Ministry of Commerce said on Sunday, marking Beijing’s first response to Trump’s remarks.
“If the US persists in acting unilaterally, China will resolutely take corresponding measures to safeguard its legitimate rights and interests,” the spokesperson continued. “Our position on a tariff war remains consistent – we do not want one, but we are not afraid of one.”
The sharp escalation in trade friction between the world’s two largest economies has shaken global markets, triggering investor anxiety and raising concerns about a possible repeat of the tariff showdown earlier in the year, when duties on U.S. and Chinese goods surged to 145% and 120% respectively.
The dispute also casts a shadow over the upcoming trade discussions between both nations.
Trump and Chinese President Xi Jinping were expected to meet in South Korea in two weeks, but Trump has hinted that the meeting might not take place, citing China’s rare earths decision.
Despite the tensions, Beijing remains defiant. The commerce ministry spokesperson urged Washington to “promptly correct its wrong approach” and “preserve the hard-won progress in negotiations.”
Defending the rare earth restrictions, the ministry described them as a “legitimate move” and accused the U.S. of triggering the latest confrontation by imposing new restrictive measures against China within two weeks of the latest trade talks held in Madrid in September.
In recent months, Washington has placed several Chinese companies on its export control list, expanded restrictions to their subsidiaries, and introduced new port fees for Chinese vessels.
“The US actions have seriously harmed China’s interests and undermined the atmosphere of bilateral economic and trade talks. China firmly opposes these moves,” the spokesperson stated.
China’s newly announced rare earth measures broaden the list of restricted minerals and extend curbs on production technologies and overseas applications, particularly for military and semiconductor uses.
These developments are expected to increase pressure on global supply chains and industries reliant on these critical minerals, which are vital for manufacturing electronics, vehicles, and advanced weaponry.
Reacting on Truth Social, Trump called China’s move “extremely hostile” and a “moral disgrace in dealing with other nations.”
However, analysts observed that Beijing’s rare earth restrictions largely mirror the U.S. semiconductor export controls, which bar the sale of chips and chipmaking equipment to China — even when produced abroad with American technology.
China’s commerce ministry criticized Washington’s reaction, accusing it of hypocrisy and “double standards.”
“For a long time, the United States has overstretched the concept of national security and abused export controls, adopting discriminatory measures against China, and imposing unilateral ‘long-arm jurisdiction’ restrictions on a wide range of products,” the spokesperson said.
The U.S. export control list includes more than 3,000 items, compared with just over 900 on China’s list, they noted.
Beijing has repeatedly condemned Washington’s extraterritorial export policies that prevent third-party firms from supplying China with products made using U.S. technology.
But China’s latest move marks a strategic shift, adopting a similar playbook to exert its own leverage in the global trade arena.
