China warns of ‘necessary measures’ in response to U.S. sanctions

Beijing has issued a threat to take appropriate action against the United States following the Biden administration’s recent sanctions against multiple Chinese companies. These sanctions were implemented last week and are aimed at firms believed to be supporting Russia’s invasion of Ukraine.

On Sunday, a spokesperson for China’s Ministry of Commerce expressed strong opposition to the U.S. decision to place Chinese entities on the export control list. The spokesperson characterized these actions as prime examples of unilateral sanctions and what they termed “long-arm jurisdiction.”

According to the spokesperson, such measures undermine the established international trade order and rules, disrupt normal economic exchanges, and pose a risk to the global industrial and supply chain stability. They urged the U.S. to immediately cease its “erroneous practices,” asserting that China would take necessary measures to defend the legitimate rights and interests of its enterprises.

The sanctions announced by the Biden administration included 123 entities, of which 42 were based in China. These groups were allegedly involved in the shipment of U.S.-origin and U.S.-branded goods to Russia, which has been in conflict with Ukraine since February 24, 2022.

U.S. officials from the Bureau of Industry and Security described these entities as shell companies and transshipment points that profited from aiding Russia’s war efforts. Matthew Axelrod, the Assistant Secretary of Commerce for Export Enforcement, noted that nearly half of these entities were located in countries outside of Russia. He emphasized that it doesn’t matter if an entity is in China or Türkiye; any involvement in sending high-priority items to Russia could result in being added to the Bureau of Industry and Security’s Entity List.

This announcement from the U.S. Commerce Department aligns with recent sanctions imposed by both the Treasury and State departments targeting nearly 400 individuals and entities across Russia and other nations, including China. The timing of these sanctions is significant, as they come only months after a similar set of restrictions in February, where 93 entities were added to the export entity list, including eight from China.

Since the onset of the conflict in Ukraine, the U.S. has taken strict measures, leading to over 1,056 entities being included in the Entity List in response to the war. These extensive sanctions reflect the ongoing tension between the United States and China, particularly concerning geopolitical interests regarding Russia and Ukraine.

The situation continues to develop as both nations navigate their foreign policy approaches. China’s response highlights its steadfast commitment to defending its economic interests and the operations of its companies in the face of U.S. sanctions.

The escalating sanctions and countermeasures clearly indicate the broader implications of U.S.-China relations, especially as it pertains to international cooperation and trade stability in a rapidly changing global landscape.