China has banned exports of dual-use goods from 20 Japanese companies that Beijing says supply the Japanese military, the Chinese Ministry of Commerce announced today, quoted by Reuters and Kyodo, BTA reported.
The measure is aimed at subsidiaries of large Japanese industrial conglomerates, such as "Mitsubishi Heavy Industries Shipbuilding" and "Mitsubishi Heavy Industries Aero Engines" (Mitsubishi Heavy Industries Aero Engines), the Chinese ministry said, without specifying which goods were subject to stricter controls.
The ministry banned the export of goods that can be used for both civilian and military purposes and are produced by companies involved in Japan's "strengthening of military power", adding that all current transactions "should be terminated immediately".
The restrictions are aimed at reducing "remilitarization" Japan and its nuclear ambitions, and foreign legal entities and individuals are also prohibited from transferring dual-use goods of Chinese origin to the affected Japanese companies.
Enterprises could apply to sell goods to the affected companies "under special export circumstances," the ministry added.
China assured that companies acting "in good faith" have no reason to worry, and that the announced measures will not affect normal economic and trade exchanges between the two countries.
The Ministry of Commerce also added another 20 Japanese companies to a watch list, saying that the end users of the companies' dual-use goods could not be verified. The companies on this list included Subaru Corp., Itochu Aviation, (Itochu Aviation) and "Mitsubishi Materials Corp" (Mitsubishi Materials Corp).
Companies exporting products to the affected Japanese companies must apply for an individual license for dual-use goods and provide a written declaration certifying that the goods will not contribute to strengthening Japan's military capabilities.
The diplomatic tension between Japan and China was sparked by a statement by Japanese Prime Minister Sanae Takaichi in November last year that a possible attack on Taiwan could trigger a response from Japan's self-defense forces.
Beijing has increased economic pressure on Tokyo and expressed concern about Takaichi's policies, which would strengthen Japan's defense capabilities and trigger discussions to amend its pacifist post-war constitution.