In his latest warning, Trump threatened to implement a 10 percent tariff on Chinese imports worth $200 billion, an addition to his administration's new 25 percent tariff on $50 billion worth of Chinese goods.
"Such a practice of extreme pressure and blackmailing deviates from the consensus reached by both sides on multiple occasions", the ministry said in a statement.
In Beijing, China's Commerce Ministry responded swiftly to Trump's latest threat, warning that if the usa imposed fresh tariffs, China would have to adopt "comprehensive measures combining quantity and quality to make a strong countermeasure".
The Trump administration's new tariffs focused mainly on industrially manufactured goods like machines, robots, motors, medical devices and pharmaceuticals.
Trump said Monday that China's response "indicates its determination to keep the United States at a permanent and unfair disadvantage".
Navarro suggested on the call with reporters that China could use other measures besides tariffs to strike back at the USA economically.
He added he would identify an extra $200 billion of goods - for a possible total of $450 billion, or most Chinese imports - "if China increases its tariffs yet again".
The move quickly drew praise from former Trump senior adviser Steve Bannon, who told The Associated Press: "President Trump told China and the world tonight that America will not back down when it comes to economic aggression".
"Everyone knows. China is the main perpetrator", he said.
Commodities have also suffered because of the rising USA dollar following the Federal Reserve's decision to raise rates last week, he said.
The statement added, "The United States has initiated a trade war that violates market laws and is not in accordance with current global development trends".
Economists are starting to warn that the tit-for-tat tariff threats between the United States and China, should they all be implemented, would meaningfully slow US growth.
Beijing could also seek to make life hard for big USA companies that rely on the Chinese market for a big chunk of their revenue. China is retaliating by raising import duties on $34 billion worth of American goods, including soybeans, electric cars and whiskey. The price the United States wants is not only to take advantage of China; even more so it wants to wreck China's economy.
Pompeo said he raised the issue last week in a meeting with Chinese President Xi Jinping, saying, "I reminded him that's not fair competition".
Flags of US and China are placed for a meeting in Beijing on June 30, 2017. Already, about $208 billion of those goods were subject to some form of import tax. In 2017, China imported 60 percent of total USA soybean exports, representing almost 1 in 3 rows of harvested soybeans, with a value of $14 billion.
China had offered to ramp up purchases of American goods by only $70 billion to help cut the yawning trade imbalance with the United States, whereas Trump had demanded a $200 billion deficit cut.