In a case filed Friday, the U.S. said China was violating global trade rules administered by the World Trade Organization in the way it operates a "famous brands" program to promote the sale of Chinese goods overseas.

"There are some different opinions between the two countries on trade and these differences should be solved through equal consultations," Foreign Ministry spokesman Qin Gang said at a news briefing.

"Under the current circumstances with the deteriorating financial crisis, we should be alert to trade protectionism in any forms," said Qin.

The United States could be cleared to impose economic sanctions against China if negotiations between the two nations fail to resolve the dispute and if a WTO hearing panel rules in favor of the U.S.

A notice on China's Ministry of Commerce said Sunday that China has always obeyed WTO rules and opposes protectionism. China will follow the rules of the WTO in dealing with the case, it said.

China's export-dominated economy is feeling the brunt of a drop of demand in its Western markets, with thousands of factories closing in its once-booming southern provinces. Critics say China is not doing enough to stimulate domestic consumption and is still trying to support its exporters, which could bring it into friction with the U.S. and other trading partners.