A conference of secretaries-general from China's national religious groups issued a statement on Friday saying that religious freedom is a basic right of Chinese citizens under the Constitution and enjoyed throughout today's China.
The US has acted as "an international religious police force," interfering in the domestic affairs of other countries, provoking strife between governments and people in the name of protecting religious freedom, the statement said.
It said the US should "immediately stop violating both international law and universal morality".
The China content in the US State Department report runs counter to the trend of China-US relations. Dialogue better fits peoples' interests than confrontation, it said.
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The US report said itsaw "a disturbing deterioration in human rights and rule of law conditions that pose a direct challenge to US national interests and US-China relations".
The Chinese government manages religious affairs according to the law, in the interests of the religious circle, harmony and stability, the statement said.
But at the same time it said "a very small number of people are engaged in criminal activities under the banner of religious freedom have been punished according to law".
"Different civilisations and religions should conduct exchanges instead of engaging in confrontation and attacks," the statement said, adding the Chinese religious circle is willing to meet with its US counterpart on friendly and equal terms to bring harmony in ties between the two nations and eliminate misunderstanding.