China Sanctions 20 Japanese Entities to Prevent “Re-Militarization & Nuclear-Weapon Ambitions”

China’s Ministry of Commerce on Tuesday added 20 Japanese entities to its export control list and placed another 20 on a watch list, citing national security concerns and efforts to prevent Japan’s re-militarization and potential nuclear-weapon ambitions.

In a statement, the ministry said the move was taken to safeguard national security and interests and to fulfill international obligations such as non-proliferation.

Among the entities added to the export control list is Mitsubishi Heavy Industries Shipbuilding Co.. Under the measures, export operators are prohibited from exporting dual-use items to the listed entities. Overseas organizations and individuals are also barred from transferring or providing dual-use items originating in China to them. Any related activities currently underway must be halted immediately.

The ministry said the listed entities are involved in enhancing Japan’s military capabilities.

Separately, the ministry placed 20 additional Japanese entities, including SUBARU Corporation, on a watch list. The ministry said their end-users and end-uses of dual-use items could not be verified.

It added that stricter reviews will be implemented for exports of dual-use items to entities on the watch list. Exports involving Japanese military end-users, military end-uses, or any other end-users and end-uses that contribute to enhancing Japan’s military capabilities will not be approved.

A spokesperson for the Ministry of Commerce said the measures were taken in accordance with relevant laws and regulations, including China’s export control law and regulations governing dual-use items.

“The objective is to stop Japan’s remilitarization and its attempts to possess nuclear weapons,” the spokesperson said in response to a media inquiry, adding that the measures are “completely justified, reasonable and lawful.”

The spokesperson said the actions target only a minority of Japanese entities and apply solely to dual-use items. “This will not affect normal economic and trade exchanges between China and Japan,” the spokesperson said, adding that Japanese entities acting in good faith and complying with the law “have absolutely no cause for concern.”