CHINA accused the G7 of hypocrisy today, as finance ministers from the group of major economies began their closed-door financial talks in Niigata, Japan.

Meeting to discuss ways to preserve the international “rules-based” order, their main priority was to prevent what they claimed was economic coercion by China.

But Chinese Foreign Ministry spokesperson Wang Wenbin hit back at the accusations.

“If any country should be criticised for economic coercion, it should be the United States,” he told a press briefing.

“The US has been overstretching the concept of national security, abusing export controls and taking discriminatory and unfair measures against foreign companies.”

China accuses Washington of hindering its rise as a developing, modern nation through trade and investment restrictions that the US says are needed to protect its economic security.

Speaking before the talks began, US Treasury Secretary Janet Yellen said such measures are “narrowly targeted” and focused on national security.

“It’s not focused on undermining China’s economic competitiveness or preventing them from advancing economically,” Ms Yellen said.

China’s relations with the 27-nation European Union, also a member of the G7, have also been frayed over trade restrictions imposed by the US and its allies.