China has denounced US President Donald Trump’s plan to impose a 100 percent tariff on Chinese goods, calling it hypocritical and unjustified, while defending its recent restrictions on rare earth exports.

In a statement on Sunday, China’s Ministry of Commerce said the export controls were introduced in response to a series of “provocative” US measures following trade talks in Madrid last month. “China’s stance is consistent — we do not want a tariff war, but we are not afraid of one,” the ministry said.

Trump announced the new tariffs on Friday, retaliating against Beijing’s rare earth curbs and introducing additional export controls on critical software, set to take effect on November 1. Beijing criticised Washington’s move as a “double standard”, citing US actions such as blacklisting Chinese firms and imposing extra port fees on China-linked ships.

While China has yet to announce any countermeasures, the dispute marks a sharp escalation in tensions between the world’s two largest economies. Rare earths — vital for producing smartphones, electric vehicles, and military technology — have become a central issue in the trade standoff. China, which dominates global rare earth production, recently expanded export restrictions on technologies used for mining and processing these materials.

The renewed tensions could jeopardise a potential meeting between Trump and Chinese President Xi Jinping at the upcoming Asia-Pacific Economic Cooperation summit in South Korea — their first since Trump’s return to office in January. Global markets reacted nervously, with tech stocks slipping amid fears of supply chain disruptions.

Meanwhile, Taiwan’s economy ministry said China’s export curbs are unlikely to affect its semiconductor industry, noting that the restricted rare earths differ from those used in chipmaking and that Taiwan sources most of its supplies from Europe, the US, and Japan.