U.S. slaps new trade curbs on Chinese, Russian firms over Moscow military aid

September 27, 2023: The United States has imposed fresh trade restrictions on Chinese and Russian firms, a move made on Monday, which has drawn Beijing’s disapproval. These actions are aimed at foreign entities deemed to have compromised national security.

The U.S. has accused Asia Pacific Links, a Hong Kong-based exporter, three Finnish companies specializing in freight, warehousing, and logistics, three Russian entities, and a German industrial equipment producer of participating in a scheme to bypass U.S. export restrictions by supplying drone components to the previously blacklisted Special Technology Center in St. Petersburg, Russia.

 These companies are among the 28 additions to the U.S. Entity List, a tool Washington uses to impose trade restrictions on entities it perceives as threats to U.S. national security. Recently, it has been employed to restrict Chinese technology and penalize involvement in Russia’s military activities.

The U.S. Commerce Department’s Bureau of Industry and Security has accused eight Chinese entities of attempting to procure U.S. drone equipment for Iran. Simultaneously, two Omani entities have been cited for supporting Houthi fighters in Yemen.

In response to these actions, Under Secretary of Commerce for Industry and Security, Alan Estevez, emphasized that they convey a clear message to those attempting to circumvent U.S. export controls. There will be consequences for behavior that undermines U.S. national security interests. He also stated that the U.S. will not hesitate to take decisive action against those who continue to supply and support Russia’s actions in Ukraine.

The Chinese Commerce Ministry has criticized these unilateral sanctions and “long-arm jurisdiction,” accusing the United States of undermining international trade order and rules, obstructing normal international economic and trade exchanges, and harming Chinese companies’ and individuals’ legitimate rights and interests. The ministry called on the United States to cease its unreasonable suppression of Chinese entities and individuals. It warned that China would take necessary measures to safeguard its legitimate rights and interests.

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U.S. slaps new trade curbs on Chinese, Russian firms over Moscow military aid