China's Foreign Ministry Spokesman confirmed to NBC News that the U.S. instructed China to close its Consulate General in Houston within 72 hours and to evacuate all staff members.
Fire and police departments are responding to flames and smoke as witnesses report documents being burned.
The Chinese government called it an "outrageous move", reports Reuters.
Authorities responded Tuesday night to reports of a fire at the Consulate General of China in Montrose, where witnesses saw paper being burned outside the facility, a Houston police official told the Houston Chronicle.
The official said Houston police did not have the authority to access the facility. Witnesses in nearby apartment high-rises told police that people were burning paper in what appeared to be trash cans, the official said.
Police were told that occupants of the consulate building were being evicted from the property at 4 p.m. Friday.