China on Thursday decided to impose export controls against three US companies and added another three US firms to its unreliable entities list, citing the need to safeguard its national security and interests, while reaffirming its commitment to providing a stable, fair and predictable environment for foreign investment.
The Ministry of Commerce (MOFCOM) said in a statement that Huntington Ingalls Industries Inc, Planate Management Group, and Global Dimensions LLC have been added to China's export control list.
The measure, effective immediately, prohibits exports of dual-use items to the three entities and requires all ongoing related transactions to be halted. In exceptional cases where exports are deemed necessary, Chinese exporters must seek special approval from the ministry, the MOFCOM said.
A MOFCOM spokesperson said following the export-control announcement that the decision was made to safeguard China's national security and interests and to fulfill international obligations including non-proliferation, in line with relevant domestic laws and regulations.
China's latest moves are fully justified under both Chinese laws and international norms, Gao Lingyun, a research fellow at the Institute of World Economics and Politics of the Chinese Academy of Social Sciences, told the Global Times on Thursday. "By targeting military-related proliferation activities, these measures are consistent with China's non-proliferation regulations and its international obligations," Gao added.
While the immediate impact of these sanctions is limited to the designated companies, they serve as a clear warning to other firms that may consider undermining China's core interests, especially as the US government and certain enterprises have repeatedly disregarded China's legitimate rights and interests in the trade, technology and security sectors in recent years, Gao said.
In a separate announcement, the MOFCOM said that Saronic Technologies Inc, Aerkomm Inc, and Oceaneering International Inc have been designated as "unreliable entities," in accordance with relevant laws and regulations.
The move bans the three companies from conducting import and export activities related to China and from making new investments in the country, with these measures also taking effect immediately, according to the statement.
In recent years, these companies have engaged in so-called military-technical cooperation with the Taiwan island despite China's strong opposition, severely undermining China's national sovereignty, security, and development interests, a MOFCOM spokesperson said after the announcement.
"US arms sales to the Taiwan region directly undermine China's sovereignty and territorial integrity, crossing a red line that must not be breached," Gao said, adding that China's corresponding measures are legitimate actions taken in line with its lawful and reasonable national interests.
China has always handled matters related to the unreliable entity list with prudence, targeting only a very small number of foreign entities that undermine the country's national security, the MOFCOM spokesperson said, adding that foreign businesses that operate with integrity and in compliance with regulations have no cause for concern.
The Chinese government, as always, welcomes companies from around the world to invest and do business in China, and remains committed to providing a stable, fair, and predictable business environment for law-abiding foreign enterprises, the spokesperson said.
Gao said this comment signals that foreign firms that comply with Chinese laws and regulations will continue to find growth opportunities and development dividends in the world's second-largest economy.
Recently, the heads of state of China and the US held phone talks after senior trade officials conducted trade negotiations in Spain, with the Chinese side stressing that both sides can achieve mutual success and shared prosperity, benefiting both countries and the world.
Gao urged Washington to fully deliver on the consensus reached by the two heads of state, and to genuinely address China's legitimate concerns in areas such as security and trade, so as to promote the healthy and stable development of bilateral ties.
(Source: Global Times)