The U.S. decision to add 49 entities, mostly from China, to its Entity List for exporting microelectronics to Russian consignees linked to the Russian defense sector is a "typical act of economic coercion," China's Ministry of Commerce said last week, according to an unofficial translation. The ministry said it opposed the additions, which took effect Oct. 6 (see 2310060044). China called for the immediate cessation of the listings, noting it will take "all necessary measures to resolutely safeguard the legitimate rights and interests of Chinese enterprises."
Although the EU, the U.S. and other nations want companies to pursue a de-risking strategy toward China, the Chinese government has a “number of tools” to make Western firms’ de-risking strategies “a lot less attractive to the company,” said Janka Oertel, director of the Asia program and senior policy fellow at the European Council on Foreign Relations. She said Western governments should keep in mind that some companies may not voluntarily choose to de-risk, especially if they're given a convincing business offer from Beijing.
The EU's decision to open a countervailing duty investigation on electric vehicle batteries from China lacks sufficient evidence and violates World Trade Organization commitments, China's Ministry of Commerce said Oct. 4, according to an unofficial translation. The ministry characterized the move as "naked protectionism."
Companies should review existing and prospective agreements for potential liability under China's anti-foreign sanctions law, Evan Chuck of Crowell & Moring advised during a Practising Law Institute webinar on Sept. 26.
U.S. vegetable exporters may benefit from Japan’s record-breaking summer heat, which has delayed the planting of autumn and winter vegetables in the country, USDA’s Foreign Agricultural Service said in a report in September. Although the agency said Japan is “nearly self-sufficient for fresh vegetable consumption,” it may increasingly turn to imports to make up for supply shortfalls. U.S. exporters of onions, celery and lettuce could benefit, USDA said.
Russia has amassed over 150,000 surplus shipping containers due to the large increase in goods coming from China but a much lower number leaving the country, an analysis from German trading platform Container xChange found. The excess containers are causing headaches for Russian rail depots.
Singapore Customs fined Hydronav Services, a Singapore-based exporter, over $1.1 million for shipping strategic goods without the required permits in violation of the nation's Strategic Goods (Control) Act, the agency said. Two Hydronav employees were also fined for their involvement in the scheme -- one for $35,000, the other for $45,000.
China condemned the Treasury Department's additions of 28 entities, including various Chinese entities, on the Entity List for their acts violating U.S. national security. The U.S. "abuses unilateral sanctions" to undercut international trade rules, hinder normal trade exchanges and curb the "legitimate rights and interests of Chinese companies," the Ministry of Commerce said, according to an unofficial translation.
China and the EU held the "10th EU-China High-Level Economic and Trade Dialogue" on Sept. 25, discussing the effect of Russia's war in Ukraine on global economics, food and energy security. Also discussed were "EU concerns on access to the Chinese market," prospects for rebalancing the EU-China trade relationship "on the basis of transparency," and predictability and reciprocity, the European Commission said.
China recently updated the list of products whose foreign production facilities are required to register under Decree 248, the USDA Foreign Agricultural Service said in a Sept. 20 report. China removed from the list 14 products and added 15 products, impacting certain dairy products, poultry products, fruit and vegetable juice, canned fruit, aquatic products, sweets and chocolates. It said: "Some of the updates are not complete removals of the products, but additions of the same products with different Customs, Inspection, and Quarantine (CIQ) codes created for China Customs’ use."