Speaking to reporters on the sidelines of the annual session of China's parliament, Commerce Minister Chen Deming said the U.S. action is "out of line" with both U.S. domestic and international laws.
The minister was referring to U.S. House action Tuesday giving final approval to authorize the U.S. government to impose duties on subsidized exports from China and Vietnam.
"Let me be clear: There are no prohibitive subsidies handed down by the Chinese central government," Chen was quoted as saying by official Chinese media.
The U.S. bill, which now goes to President Barack Obama, would allow the U.S. Department of Commerce to impose countervailing duties on imports from China and Vietnam. A U.S. district court decision in December said Commerce did not have the authority to impose such duties on goods from non-market economies, China Daily reported.
The ruling stemmed from a decision by the Obama administration to levy a tariff on imports of low-grade Chinese tires.
Chen said China does not provide prohibitive subsidies.
The Chinese report said since the global financial crisis, many nations have granted subsidies to their domestic companies, and cited the U.S. bailout of General Motors and Chrysler in particular.