China Hits Back at US Blacklist with Export Controls on Defense and Rare Earth Firms

China has retaliated against recent US actions by imposing export controls on 10 American companies and banning public procurement from dozens more. This move follows Washington's decision to add 80 companies and their subsidiaries to a "Chinese military enterprise list" that it claims are aiding Beijing's military.

The Chinese commerce ministry stated that the export controls are a direct response to the US government's "egregious act" and are necessary to "safeguard national security." Among the 10 entities facing export restrictions are Aveox, which holds aerospace defense contracts with the US military, and Oshkosh Defense, a producer of military vehicle fleets.

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in response to the US government's egregious act of adding to its so-called 'Chinese military enterprise list'

Simultaneously, China's finance ministry announced a ban on government agencies engaging in public procurement from 46 US firms. This list includes major defense contractors such as Lockheed Martin, Raytheon, and Boeing's defense division. The finance ministry clarified that companies with existing US investments in China are exempt from this ban, and the measures became effective on Monday.

This escalation in trade and technology tensions occurred just a month after US President Donald Trump visited Beijing, aiming to stabilize strained relations with Chinese President Xi Jinping. However, subsequent actions by Washington, including the expanded blacklist, have led to Beijing's retaliatory measures, further complicating the bilateral relationship.

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safeguard national security