Xinhua said while Chinese exporters could be the first to suffer from trade sanctions, the pain would soon spread to USA industries and households, adding that China was willing to resolve any disputes between the two sides through dialogue.
If Lighthizer decides to go ahead with an investigation, the United States would first consult with China and the investigation process could take as long as a year, senior administration officials told reporters on Saturday.
China's Commerce Ministry on Monday announced a ban on imports of iron ore, iron, lead and coal from North Korea effective Tuesday, as part of United Nations sanctions, although it will continue to clear goods that have already arrived in port until September 5.
Fearing that Taiwan could be hit by retaliatory actions by Washington if it finds forced technology transfers or intellectual property theft by China, Bureau of Foreign Trade Director-General Yang Jen-ni (楊珍妮) said Sunday the agency will carefully assess the situation as soon as U.S. President Donald Trump orders the probe.
Trump is to ask US?Trade Representative Robert Lighthizer to determine whether US?trade with China - including China's alleged theft of US intellectual property - warrants investigation.
He said USTR will do a "thorough" investigation and take action if needed "to preserve the future of US industry".
"His idea of exploiting trade as a bargaining chip in dealings with China dates back to the campaign trail", it said in an English-language commentary published on Monday.
China's Xi Jinping urged President Trump to try further diplomacy after a recent exchange of harsh words with Kim Jong-un that resulted in threats against Guam, and now he's going along with the United Nations sanctions that Trump lobbied for him to support.
Trump made addressing the USA trade deficit with China a centerpiece of his campaign past year and has suggested raising tariffs on goods from China.
According to the New York Times, the investigation will look into China for allegedly stealing intellectual property from American businesses without alienating Beijing in the crisis over North Korea's nuclear weapons program.
Normally, the attempts to get a rise out of these world leaders have been largely ineffective, but that may change with President Donald Trump commanding the White House.
USA officials will particularly examine the role of joint ventures, the mixed foreign-and-Chinese companies whose establishment is required for any outside business wishing to sell its products in China.
Section 301, once heavily used in the 1980s and the early 1990s, allows the USA president to unilaterally impose tariffs or other trade restrictions against foreign countries.
The phone call was made hours after Trump issued fresh threats of swift and forceful retaliation against Pyongyang, warning that its leader "will regret it fast" if he takes any action against United States territories or allies.