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"But the US hasn't thought through what their actions might lead to and how it's going to impact adversely on the US," he said. "It is a very short-sighted move, because ultimately you can't prop up inefficient industries forever."

"China has developed rapidly over the years, but over the next five years, we would expect it to develop even more rapidly on the back of more and more innovation," he said.

"By working with the host countries, we have already begun to issue early warning information regarding national trade and investment credit risks and a legal policy service guide, as well as help companies understand and pre-examine the actual situation, to effectively avoid and properly respond to potential business risks and policy changes," he said.

"China could be more open to foreign investment, including that from US enterprises," said Xu.

"China and ASEAN are biggest trading partner to each other," he told Xinhua in an exclusive interview on Wednesday. "China's further opening up will provide bigger market for the world, especially neighboring countries in this region."