China Retaliates Against US Tech Sanctions With Export Controls
WHO:
ABC News - China announced sanctions on 10 American defense companies.
ABC News - The companies include AVEOX, Red Cat Holdings, Teal Drones, IMSAR, Jaia Robotics, Ball Aerospace & Technologies, Oshkosh Defense, L3Harris Maritime Services, MP Materials, and USA Rare Earth.
Techmeme - The list of barred companies includes Anduril.
WHAT:
Newsweek - China has imposed export restrictions on 10 U.S. companies, including two involved in rare earth mining, in retaliation for the Pentagon adding Chinese tech giants to its watch list of military-linked firms.
Newsweek - The sanctions list included U.S. defense industry drone or drone hardware suppliers: AVEOX, Red Cat, Teal Drones, IMSAR, Jaia Robotics, BAE Systems' Space & Mission Systems, Oshkosh Defense, and L3Harris Maritime.
Newsweek - The export controls prohibit the export of dual-use items to the American firms and apply to goods of Chinese origin held by entities and persons in other countries.
ABC News - The Finance Ministry prohibited government entities from buying products from 46 American companies, including multiple units of Lockheed Martin, Raytheon, and General Dynamics.
Techmeme - China added Anduril to the list of companies barred from government purchases.
ABC News - China imposed an export ban on “dual-use” items to the 10 sanctioned companies.
ABC News - The Finance Ministry prohibited government entities from purchasing products from 46 American companies.
ABC News - The U.S. Defense Department added several tech companies, including Alibaba and Baidu, to its list of firms linked to the Chinese military.
WHERE:
ABC News - The companies are located in various states including California, Utah, Rhode Island, Colorado, Wisconsin, Virginia, Nevada, and Oklahoma.
WHY:
Newsweek - The move was described as a response to "the U.S. government's malign practice" and aims to safeguard China's national security and fulfill its "nonproliferation and other international obligations," according to a ministry spokesperson.
ABC News - The Finance Ministry's prohibition did not provide a reason for the restriction on purchasing products from the 46 American companies.
ABC News - The sanctions were a response to U.S. actions that bar leading Chinese tech companies from defense contracts.
ABC News - The Commerce Ministry stated the export ban was to safeguard China’s national security and in response to the U.S. government's “wrongful expansion of its so-called List of Chinese Military Companies.”
ABC News - The American sanctions were said to run counter to the consensus reached between Chinese leader Xi Jinping and U.S. President Trump during Trump's visit to China.
HOW:
Newsweek - The announcement stated, "Relevant export activities that are being carried out should be stopped immediately."
ABC News - Chinese companies can apply for export approval for goods that are “genuinely necessary.”
ABC News - Chinese companies are blocked from exporting dual-use items to the sanctioned American firms.
ABC News - Companies or individuals in third countries are prohibited from transferring dual-use items from China to the sanctioned American firms.
ABC News - Chinese companies can apply for export approval for goods that are “genuinely necessary.”
(UPDATED June 22, 2026 14:51 UTC)
China has imposed export restrictions on ten U.S. companies, including those involved in rare earth mining, as a response to the Pentagon's addition of Chinese tech giants to its watch list of military-linked firms. The sanctions target U.S. defense industry suppliers of drones and drone hardware, prohibiting the export of dual-use items to these American firms and affecting goods of Chinese origin held by entities in other countries. A spokesperson for the Chinese ministry stated that relevant export activities should be stopped immediately, emphasizing the need to safeguard national security and fulfill international obligations.
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(UPDATED June 22, 2026 08:49 UTC)
China's Finance Ministry has announced a prohibition on government entities purchasing products from 46 American companies, which includes well-known defense contractors like Lockheed Martin, Raytheon, and General Dynamics. Additionally, Anduril has been added to the list of companies barred from government purchases, although no specific reasons were provided for these restrictions. Chinese companies will still have the opportunity to apply for export approval for goods deemed "genuinely necessary."
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(UPDATED June 22, 2026 06:44 UTC)
China has announced sanctions on ten American defense companies, including AVEOX, Red Cat Holdings, and Teal Drones, in response to U.S. actions that restrict leading Chinese tech firms from defense contracts. The sanctions include an export ban on dual-use items to these companies, and the Chinese Finance Ministry has prohibited government entities from purchasing products from a total of 46 American firms. Additionally, the U.S. Defense Department has added several tech companies, such as Alibaba and Baidu, to its list of firms linked to the Chinese military, further escalating tensions between the two nations.