China has threatened to retaliate against US sanctions seen as an attempt to restrict international trade by the Chinese technology giant Huawei.
Foreign Ministry spokesman Lu Kang said Beijing opposed countries imposing unilateral sanctions on Chinese companies and would take action.
The Trump administration on Wednesday effectively blocked Huawei products from being used in US networks.
The order does not name any company, but is believed to target Huawei.
Huawei denies its products pose a security threat and says it is ready to engage with the US.
Beijing accused President Trump of engaging in industrial sabotage by using state security as “as a pretext for suppressing foreign business”.
“We urge the US to stop this practice and instead create better conditions for business co-operation,” Mr Lu said.
He did not give any details over how China planned to retaliate against the US sanctions.
According to a White House statement, Mr Trump’s order aims to “protect America from foreign adversaries who are actively and increasingly creating and exploiting vulnerabilities in information and communications technology infrastructure and services”.
It gives the secretary of commerce the power to “prohibit transactions posing an unacceptable risk to the national security”, the statement adds.