The US Department of Homeland Security said Tuesday it would add 37 entities to the Uyghur Forced Labor Prevention Act entity list, bringing its total to nearly 150.
Goods wholly or partially made by these firms will be restricted from entering the US.
The entities added include companies mining and processing critical minerals from Xinjiang, where Beijing has been accused of incarcerating over one million Uyghurs and other Muslim minorities in a network of detention facilities.
Chinese officials strongly deny these claims.
"This so-called forced labour is totally groundless. The US fabricates and implements Xinjiang-related malicious laws based on lies", Chinese foreign ministry spokesman Guo Jiakun said at a regular press conference Wednesday.
"This is an attempt to interfere in China's internal affairs, harm China's interests, and suppress and contain China."
The additions also include companies growing Xinjiang cotton and manufacturing textiles for global export, alongside those producing inputs for solar modules using polysilicon made in the region.
The companies affected include Zijin Mining Group and its subsidiaries in Xinjiang, alongside Huafu Fashion and 25 of its subsidiaries.
China would take "resolute measures" to "safeguard the legitimate rights and interests of Chinese enterprises", Guo said.
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