China sanctions 10 US firms over Pentagon blacklist

China has imposed export controls on 10 US companies, targeting firms involved in defense and rare earths mining, in retaliation for Washington's decision to blacklist Chinese businesses. The commerce ministry announced the sanctions on June 22, stating the move was a response to the US government's "egregious act" of adding companies to its "Chinese military enterprise list."

The targeted US entities include Aveox and Oshkosh Defense, which hold defense contracts, as well as rare earths producers MP Materials and USA Rare Earth. China's ministry said exporters are prohibited from supplying dual-use items to these companies and that any ongoing export activities must cease immediately.

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

This action escalates the ongoing trade and technology dispute between the world's two largest economies. The US had recently added 80 companies, including tech giants Alibaba and Baidu, to its blacklist, citing their alleged support for the Chinese military. Beijing had previously threatened retaliation.

In a related move, China's finance ministry announced a ban on public procurement of products from 46 US firms, including major defense contractors like Lockheed Martin, Raytheon, and Boeing's defense division. These measures are set to take effect on June 22.

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safeguard national security