BEIJING — China has pushed back against President Donald Trump’s threat to impose 100% tariffs on Chinese imports, urging Washington to return to negotiations rather than escalating tensions with public ultimatums.

In a statement released online Sunday, China’s Commerce Ministry said its position “has been consistent,” adding, “We do not want a tariff war, but we are not afraid of one.” This marks Beijing’s first formal reaction since Trump warned he would raise tariffs by November 1 in retaliation for China’s new export restrictions on rare earth materials.

The exchange raises concerns that a potential meeting between Trump and Chinese President Xi Jinping could be derailed, jeopardizing the fragile trade truce the two sides have maintained since April—when combined tariff levels briefly crossed the 100% mark.

Trump has routinely used steep import taxes to pressure U.S. trading partners since taking office, but China has been one of the few nations unwilling to yield, banking on its global economic weight.

In its statement—styled as responses from an unnamed spokesperson to questions from unidentified media outlets—the ministry cautioned that “repeated threats of high tariffs are not the right way to work with China,” and called for disputes to be resolved through dialogue.

However, it issued a warning of its own: “If the U.S. side obstinately insists on its practice, China will resolutely take corresponding measures to safeguard its legitimate rights and interests.”

Along with the tariff threat, Trump has floated potential export controls targeting what he referred to as “critical software,” though he has not clarified what technologies that would include.

Each country has accused the other of breaking the trade ceasefire by imposing fresh restrictions. In a recent social media post, Trump said China is becoming “very hostile,” claiming Beijing is holding the world “captive” by limiting access to rare earth minerals and magnetic materials.

China’s Commerce Ministry shot back, arguing that Washington has introduced multiple new trade barriers in recent weeks, including expanding export control lists targeting Chinese firms.

On the issue of rare earths, Beijing said it would continue to grant export licenses for legitimate civilian uses but emphasized the minerals’ military value. New Chinese rules require foreign companies to obtain government approval before exporting items containing China-sourced rare earths—regardless of where the finished products are manufactured.

China controls nearly 70% of global rare earth mining and about 90% of processing capacity, making access to the materials a central point of contention in U.S.-China trade relations. The minerals are crucial for industries ranging from defense and aerospace to electric vehicles and consumer electronics like smartphones and laptops.

Beijing noted that its export policies have also affected manufacturers in Europe and other regions that rely on rare earth supplies.

The ministry also criticized the United States for moving ahead with new port fees on Chinese vessels, which take effect Tuesday. In response, China said it will begin imposing similar charges on American ships starting the same day.

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