China said it would take "countermeasures" against U.S. entities in response to sanctions on Chinese companies over the entry of a Chinese surveillance balloon into U.S. airspace. The U.S. sanctioned six Chinese entities in response to the balloon, adding them to the Entity List (see 2302100072). A spokesperson for China's Ministry of Foreign Affairs said at a regular press conference in Beijing Feb. 15 that it will take retaliatory measures "against relevant US entities that have undermined China’s sovereignty and security to firmly safeguard China’s sovereignty and legitimate rights and interests."

An agreement among the U.S., Japan and the Netherlands to restrict exports of advanced chip-related items to China could “cause serious harm” to Chinese chip companies and “long-term damages to the interests of consumers” around the world, the China Semiconductor Industry Association said in a Feb. 15 statement, according to an unofficial translation. The association said the new restrictions, which the three countries reportedly agreed to last month (see 2301270002), risk “destroying the existing global semiconductor ecology. CSIA opposes the act of interfering in global trade liberalization, distorting the balance of supply and demand” and attempts to “exclude China’s semiconductor industry from the global innovation system and free competition market.”

Malaysia recently delayed a new sales tax on imported low-value goods to give sellers time to register on a mandatory government website, the Hong Kong Trade Development Council reported Feb. 14. The sales tax, which was scheduled to take effect Jan. 1, will now be collected starting in April, the report said. The measure will impose a 10% tax on the price of certain low-value goods purchased overseas; smoking and vaping products are exempt. Sellers who don’t pay the tax may face a penalty “between 10% and 40% of the amount due, depending on how late their payment is,” the report said.

The United Arab Emirates recently introduced new fees on import attestations, the Hong Kong Trade Development Council reported Feb. 13. The UAE said all goods imported into the country worth $2,723 or more must include an invoice attested by the country's Ministry of Foreign Affairs and International Cooperation (MoFAIC), the report said. The UAE will charge about $40 for each imported commercial goods invoice worth $2,723 or more. The country will also charge fees for “attesting other commercial documents,” the report said, and importers have 14 days from the customs declaration release date to pay the fees, with exceptions for certain goods. Traders who fail to pay the fees will be subject to a fine.

China "firmly opposes" the U.S. move to add six Chinese entities to the Entity List over their ties to China's "High Altitude Balloons" intelligence and reconnaissance activities, China's Ministry of Commerce said, according to an unofficial translation. Responding to a reporter's question on the inclusion of the entities, the ministry said it hopes the U.S. "will stop its unreasonable suppression of Chinese companies and will take necessary measures to resolutely safeguard the legitimate rights and interests of Chinese companies."

China prohibited the direct or indirect import of artiodactyls, including sheep, goats, pigs, cows and deer, from Iraq following an outbreak of foot-and-mouth disease in Iraqi livestock, the General Administration of Customs announced, according to an unofficial translation. Last month, Iraq reported to the World Organization for Animal Health that over 1,500 cattle and 500 sheep, of which 11 and 10 died, respectively, were infected with the disease. China said that to protect its livestock and prevent the spread of the disease, Iraqi farmers cannot send cloven-hoofed animals to China, and any shipments of such will be returned or destroyed.

China barred the import of sheep, goats and related products from Azerbaijan following an outbreak of sheep pox and goat pox, the General Administration of Customs announced, according to an unofficial translation. In January, Azerbaijan reported to the World Organization for Animal Health that 321 animals were infected with the diseases, two of which died.

The Philippines is considering new import taxes on certain nonessential and luxury goods, the Hong Kong Trade Development Council reported Feb. 10. The duties could affect luxury bags, wristwatches, leather items, cars, artwork, private jets and more. The country already imposes a 20% tax on certain nonessential goods, including jewelry, perfumes, yachts and other pleasure vessels.

China and the Association of Southeast Asian Nations Feb. 7 kicked off the first round of their negotiations over "Free Trade Area 3.0," an intended enhancement to the existing China-ASEAN free trade area, China's Ministry of Commerce announced, according to an unofficial translation. Both sides discussed procedural rules, organizational arrangements and work plans, laying out a timetable and road map for later talks. The negotiations were previously arranged to cover trade in goods, investment, the digital economy and the green economy.

Amid lobbying from the U.S. to take a tougher stance on China, Japan plans to introduce new export controls on advanced semiconductor technology and manufacturing equipment this spring, The Japan Times reported Feb. 5. The country will specifically place new restrictions on chip technology used for military applications, the report said, and will first solicit feedback from industry and others. The new regulations “will not explicitly name China” because Japan doesn’t want to “trigger retaliatory measures,” the report said. The U.S. reportedly concluded talks with Japan and the Netherlands in January after months of lobbying both governments to impose tougher export controls on chip-related items destined to China (see 2301270002).