"Carter's claims are incorrect and do not accord with the actual situation," Guan Youfei, director of the Office for International Military Cooperation of the Chinese Central Military Commission, told media on the sidelines of the 15th Shangri-La Dialogue here.
Guan said the US should "learn lessons" from the wars it had waged in the Asia-Pacific region after World War II and play a constructive role in the region," state-run Xinhua news agency reported.
Speaking at the security summit, Carter said that China risks further alienating regional neighbours and building a "Great Wall of self-isolation" as it pursues its military expansion across the South China Sea.
"China's actions in the South China Sea are isolating it, at a time when the entire region is coming together and networking...Unfortunately, if these actions continue, China could end up erecting a Great Wall of self-isolation," Carter said.
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Carter had earlier made similar accusations against China in a speech delivered at the US Naval Academy.
The Chinese Foreign Ministry had responded, saying such claims reflected "American-style mentality" and "American-style hegemony".
The war of words came ahead of the high-level annual Strategic and Economic Dialoguebetween the two countries to be held here on June 6-7, which will be attended among others by US Secretary of State John Kerry.
China said besides highlighting its concerns over US-Asia pivot push into the South China Sea at the summit, it will also raise Tibet and Taiwan issues with US.