China on Tuesday warned of reprisals if the U.S. Congress adopts a bill on China's foreign exchange rate which raises U.S. tariffs on imports from China.

"China has always held the view that China-U.S. trade relations must reflect the interests of both sides and therefore require efforts from both sides," Chinese Foreign Ministry spokesman Qin Gang told a regular press conference.

But the bill to be passed by the U.S. Congress could lead to higher tariffs on imports from China, said Qin.

"If this happens, relevant Chinese authorities will have to respond in kind," he said.

The trade volume between China and the United States reached 263 billion dollars in 2006. Some U.S. lawmakers blame the yawning U.S. trade deficit with China on yuan's low exchange rate.

Qin urged the U.S. not to politicize the trade issue between the two countries, saying that "domestic problems in the Unites States should not be blamed on China-U.S. economics and trade".

"The two sides should resolve the bilateral trade disputes on the basis of mutual respect and equal negotiation, taking each other's concerns into consideration," the spokesman said.

With regard to the Renminbi exchange rate, Qin said the Chinese yuan's exchange rate should reflect the economic conditions in China and be conducive to the development of the Chinese and global economy.

"Reforms to the Renminbi exchange rate are ongoing in order to better reflect market demand and supply, not to obey an order from the Capitol Hill," said Qin.

Source: Xinhua