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Weekly Newsletter

30 July 2026

Weekly Newsletter

30 July 2026

China restricts exports to 14 European firms amid EU sanctions row

A notice from China’s Ministry of Commerce said the named companies are barred with immediate effect from receiving dual-use goods from Chinese suppliers.

Shubhendu Vimal July 27 2026

China has introduced export controls on 14 European companies, calling the measure a response to sanctions recently imposed by the European Union (EU) on Chinese and Hong Kong entities.

A notice from China’s Ministry of Commerce said the named companies are barred with immediate effect from receiving dual-use goods from Chinese suppliers.

The ministry said overseas parties are also banned from transferring or passing on Chinese-origin dual-use items to those companies, and any such activity already under way must stop at once.

It said exporters seeking an exemption because of special circumstances must apply to the ministry for approval.

China said the controls are intended to protect national security and broader interests, while also meeting international obligations, including those related to non-proliferation.

The ministry said the action is based on the Export Control Law of the People’s Republic of China and the Regulations on Export Control of Dual-Use Items.

The restrictions apply to goods with both civilian and military uses.

China’s move came after the EU approved a new sanctions package covering over 200 individuals and organisations, including 14 Chinese and Hong Kong firms accused of supporting Russia’s war effort in Ukraine.

The EU package was adopted by the Council on 23 July.

The 14 entities listed by China are Italian electric motor manufacturer Lafert, French drone producer Cavok UAS, German defence firm Rheinmetall, Dutch shipbuilder IHC Merwede, which also operates under the name Royal IHC, and German manufacturer and supplier of coating materials Sindlhauser Materials.

Also named are Polish semiconductor materials producer Vigo Photonics, German chemical trading company Antraco Chemie-Handelsgesellschaft, Italian robotics firm Garnet, French tech company InPACT, French industrial research and development organisation III-V Lab, Poland’s Wroclaw Polytechnic University, Czech Republic’s Tatra Trucks, Bulgaria’s Opticoelectron Group and Lithuania’s Ekspla.

The latest step is part of a series of export control actions introduced by China in recent weeks.

Late last month, Beijing imposed export restrictions on 40 Japanese organisations and companies during an ongoing dispute with Tokyo.

Around the same time, it placed ten American companies, including rare earth mining companies and defence contractors, on its control list in response to restrictions imposed by the US.

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