Zhang argued that if Pompeo's logic stands, even a bottle of wine produced in a country with a different political system could be poisonous.

Zhang reminded Pompeo of the notorious PRISM program and US wiretapping of its close European allies. PRISM is a code name for a mass surveillance program conducted by the US National Security Agency. It was exposed by former NSA agent Edward Snowden in 2013. The German newspaper also reported in 2013 that the NSA wiretapped German Chancellor Angela Merkel's phone for at least 10 years since 2002.

The Chinese diplomat said that security is of paramount importance as new technologies mushroom, and that there are now ongoing efforts worldwide to enhance the security of 5G technology.

"To build a safe, open, transparent and healthy 5G ecosystem, only cooperation works in a spirit of mutual trust," Zhang said, adding that decoupling would lead to nowhere.

He said that Europe takes pride in multilateralism and upholds open markets. "It is my hope and belief that the Europeans will keep to the principles of fairness, justice and non-discrimination," he said.

In Beijing on Tuesday, Foreign Ministry spokeswoman Hua Chunying asked Pompeo to "show evidence".

Hua dismissed Pompeo's claim that China's National Intelligence Law makes clear that the CPC can force any 5G supplier headquartered in China to turn over data in secret.

"I wonder if he is able to locate this provision? You may look it up online. This law stipulates that 'an organization or citizen shall support, assist in and cooperate in national intelligence work in accordance with the law and keep confidential the national intelligence work that it or he knows'," Hua said.

"But it also provides that 'national intelligence work shall be conducted in accordance with the law, respect and safeguard human rights, and protect the lawful rights and interests of individuals and organizations'."

Hua said that China has never asked and will never ask any company or individual to break local laws and install backdoors to gather data, information or intelligence stored in foreign countries for the Chinese government or to provide it with such information.

German officials recently pointed out that China's laws demand nothing more from companies than the US CLOUD Act (Clarifying Lawful Overseas Use of Data Act) signed into law last year by President Donald Trump and the US Patriot Act signed into law in 2001 by President George W. Bush.