Foreign Minister Wang Yi said on Sunday that the fundamental way to resolve navigation issues in the Strait of Hormuz is to achieve a ceasefire as soon as possible.

Xinhua News Agency reported that Wang made the remarks in a phone call with his Russian counterpart Sergei Lavrov.

Wang said China is willing to continue working with Russia, maintain communications over major issues, and make joint efforts to help de-escalate the situation in the Middle East.

His remarks came as US President Donald Trump on Sunday stepped up his threat to hit Iran's critical infrastructure hard if the country's government does not reopen the Strait of Hormuz by his Monday deadline.

Trump punctuated his threat with profanity in a social media post, saying that Tuesday will be “Power Plant Day, and Bridge Day, all wrapped up in one, in Iran”.

Later, Trump told Fox News that he believed there was a "good chance" that Iran would agree to a deal on Monday.

"I think there is a good chance tomorrow, they are negotiating now," he told a Fox News journalist.

"If they don't make a deal and fast, I'm considering blowing everything up and taking over the oil," he added.

Trump's warning came as the Omani and Iranian deputy foreign ministers reportedly held talks on easing passage through Hormuz.

The US president also offered details of the rescue of a “seriously wounded and really brave” US service member he identified as a “respected colonel” who was missing since Iran shot down a US F-15E Strike Eagle on Friday. (Agencies)