Trump issued the threat Tuesday after slamming Beijing's halt of US soybean purchases as an "economically hostile act".

"We are considering terminating business with China having to do with Cooking Oil, and other elements of Trade, as retribution," Trump said on his Truth Social platform.

While tensions between Washington and Beijing have eased from their peak earlier in the year, a truce struck by the leaders remains shaky.

Beijing imposed fresh controls on the export of rare earth technologies and other items last week, leading Trump to warn Friday that he would roll out an additional 100 percent tariff on the country's goods from November 1.

China's foreign ministry on Wednesday said trade disputes were "not in the interests of any party" when asked about Trump's threat on cooking oil, which is used for biofuels including biodiesel and sustainable aviation fuel.

"The two sides should resolve relevant issues through consultation on the basis of equality, respect and mutual benefit," spokesman Lin Jian told reporters at a regular briefing.

"China's position on China-US economic and trade issues is consistent and clear," he added.

The United States was the biggest purchaser of Chinese used cooking oil last year, buying 1.27 million tonnes, a rise of more than 50 percent from 2023.

That accounted for more than 40 percent of Chinese exports of the product, according to the US Department of Agriculture.

Beijing on Wednesday also defended its latest export controls on rare earths as protecting global security, after the European Union's trade chief Maros Sefcovic said the restrictions were unjustified and called for a response.

China is the world's leading producer of the minerals used to make magnets crucial to the auto, electronics and defence industries.

Chinese leaders had "made clear their position" on its latest policies, spokesman Lin said.

Controls were implemented "to better safeguard world peace and regional stability and fulfill international obligations such as non-proliferation", he added.