China’s Ministry of Commerce just dropped the hammer on 40 Japanese entities, splitting them into two tiers of export restrictions that collectively represent one of the most aggressive trade actions Beijing has taken against Tokyo in recent memory.
The move, announced on February 24 via MOFCOM Announcements No. 11 and 12, places 20 entities on a formal export control list that bans the sale of dual-use items, products with both civilian and military applications. Another 20 firms land on a watch list requiring heightened scrutiny of end users and intended uses.
Who’s on the list and why it matters
The banned entities include Mitsubishi Shipbuilding affiliates and the Japan Aerospace Exploration Agency, better known as JAXA. On the watch list sit names like Subaru and Itochu Aviation. The targeted sectors include aerospace, shipbuilding, propulsion, defense research, and space.
Japan’s government responded by calling the sanctions “completely unacceptable” and demanding their immediate withdrawal.
