"Our clear message to China is that it should address all problems identified in the Special 301 report. We will continue to consider all available avenues," the official told reporters.
The official added that the Trump administration would consider new sanctions on Chinese goods if China does not address the listed economic and trade-related issues.
On Thursday, US Trade Representative released its annual Special 301 Report on the adequacy and effectiveness of trading partners to protect IP rights and the funding of its Notorious Markets List, which highlights online and physical market places that engage in copyright piracy and counterfeiting.
"Despite a broad government reorganisation… China failed to make fundamental structural changes to strengthen IP protection and enforcement, open China’s market to foreign investment, allow the market a decisive role in allocating resources, and refrain from government interference in private sector technology transfer decisions," the report said.
The report identified a total of 36 countries that currently present significant IP rights concerns. The US Trade Representative said it will take appropriate actions if countries fail to address those concerns.
Meanwhile, Chinese e-commerce giant Alibaba remains on the US Trade Representative's Notorious Markets List, while another Chinese site, Pinduoduo.com, was added on the list.