Five Chinese companies

Five Chinese companies have been blacklisted by the U.S. government for supporting Russian military industry

The Biden administration announced on Tuesday (June 28) that it would add Five Chinese companies to a trade blacklist on the grounds that they are suspected of providing support for Russia’s military and defence industrial base, five of which are entities located in China. Washington stated that this move is to demonstrate the determination and strength of the United States to implement sanctions against Russia. In addition to these five entities, 20 other entities related to China were added to the list on the same day for helping Iran or supporting military use, including a research institute of the Chinese Academy of Sciences and a research institute of CSSC.

The U.S. Commerce Department, which oversees the trade blacklist known as the Entity List, said the five Chinese companies on the Entity List were supplying items to Russian entities on the Entity List before Russia’s massive invasion of Ukraine on Feb. 24, and “continued to enter into contracts to supply Russian entities and sanctioned parties placed on the Entity List” following further Russian incursions into Ukraine Five Chinese companies.

Another company added to the Entity List for allegedly providing military-industrial support to Russia is from Uzbekistan.

The action taken today sends a strong message to organisations and people all over the world: If they attempt to support Russia, America will isolate them as well.

An inquiry for comment was not immediately answered by the American consulate for China.

The five Chinese companies accused of assisting the Russian military include World Jetta Logistics Limited of Hong Kong, Sinno Electronics Co., Ltd., King Pai Technology (Hong Kong) Co., Ltd. Pai Technology Co., Ltd), Winning Electronic, and Connec Electronic.

Since Beijing suppressed Hong Kong’s autonomy, Hong Kong is considered part of China in terms of U.S. export controls and no longer enjoys special treatment from mainland China.

The inclusion of companies on this trade blacklist means that U.S. suppliers need to obtain permission from the U.S. Department of Commerce before they can export products to these companies.

After Russia invaded Ukraine, the United States and its allies imposed sanctions on a large number of Russian companies and oligarchs and added other entities to the entity list to punish Russian President Vladimir Putin for the so-called “special military operation” against Ukraine.

While U.S. officials have previously said China has largely complied with the sanctions restrictions, Washington has vowed to closely monitor compliance and strictly enforce them.

In addition, the Commerce Department added 31 other entities from Russia, the United Arab Emirates, Lithuania, Pakistan, Singapore, the United Kingdom, Uzbekistan, and Vietnam to the blacklist, according to information in the Federal Register. 25 of the 36 new entities on the Entity List, however, operate in China.

Among the other 31 entities, 12 Chinese entities were included in the list for supplying Iran with electronic equipment originating in the United States; and eight entities were included in the list for attempting to obtain or obtaining U.S. products to support military applications, Thus violating the national interests or foreign policy of the United States, which includes the Shenyang Institute of Automation of the Chinese Academy of Sciences and the China Shipbuilding Industry Systems Engineering Research Institute under the China State Shipbuilding Industry Corporation.

Thea Rozman Kendler, assistant secretary of commerce for export controls, said in a statement: “Regardless of where the parties are located, we will not hesitate to take action if they violate U.S. law. Action.”

(This article is based on the Reuters report.)

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