Chinese Foreign Ministry spokesperson Hong Lei speaks at a daily news conference on Monday, March 7, 2016 in Beijing. [Photo: fmprc.gov.cn]

Chinese authorities are warning of potential damage to bilateral ties in the wake of the U.S. Commerce Department's plan to place export restrictions on Chinese telecoms equipment-maker ZTE for allegedly violating U.S. export controls on Iran.

Chinese Foreign Ministry spokesperson Hong Lei says, "China is always opposed to the U.S. citing domestic laws to place sanctions on Chinese enterprises. We hope the U.S. stops this erroneous action and avoids damaging Sino-U.S. trade cooperation and bilateral relations."

The restrictions, which are taking effect this Tuesday, will require ZTE's suppliers to apply for an export license before shipping any American-made equipment or parts to ZTE.

This will potentially complicate ZTE's ability to acquire U.S. products.

US regulators allege ZTE circumvented US sanctions on Iran through contracts it signed with Iran's largest telecom firm.

Trading of ZTE shares was suspended in both Hong Kong and Shenzhen on Monday.