Author: Sichuan Sichuan
Source: Nikkei Chinese Network
China will formulate new laws to strengthen export control of strategic materials and high -tech.China will formulate a list of embargo enterprises for security on the grounds of security guarantee.China's move is intended to fight against the United States to strengthen embargo on Chinese companies such as Huawei Technology.If China takes the actual measures to include American companies on the list, the retaliation war between China and the United States may gradually upgrade.
In the context of the deepening of the opposition between China and the United States, the United States has completely banned the supply of semiconductors using American equipment and design software from September 15 to strengthen sanctions on Chinese companies.Earlier, China has been criticizing these US sanctions to suppress Chinese companies in the name of national security.
With the help of new laws, China will also be able to introduce embargo on US companies such as American companies.Facing China's tough attitude, overseas concerns may be further strengthened.
The list of embargoing companies drained based on new laws is equivalent to the Chinese version of the American entity list.As a retaliation measure for the United States, China may list well -known American companies on the list.The Japan Security Intelligence Center believes that although Japanese companies have to comply with US export control, it is considered to endanger the possibility of China's national security.Japanese companies that follow the US sanctions against China also have the risk of becoming an object.
The Standing Committee of the National People's Congress, which will be held on October 13, will review the draft new export control law, and will be implemented in 2021.The bill was announced by the Ministry of Commerce in June 2017.The first review was conducted at the meeting of the Standing Committee of the National People's Congress in December 2019, and the second review was conducted at the end of June 2020.The purpose of formulating law is to safeguard national security and interests.
China will formulate a list in accordance with the new law, clarifying the categories, technologies and services based on security guarantee.The specific list will be determined in the future, but regarding the incorporated items, China's export companies must submit certificates about final customer companies and uses in advance.According to relevant proofs, export permits are issued after comprehensive consideration on the impact of national security, the possibility of transition into military use, and export destinations.
In the Chinese version of the entity list, if China believes that it may harm national security or the final customer enterprise does not change its use without permission, it will be included in the embargo list as sanctions.The object is not only the ultimate customer company in the United States.Machining the raw materials imported from China, and then the enterprises in third countries such as intermediate products and completion products to overseas Japan have also become objects.
Relevant sources said that strengthening export -controlled strategic materials may include China's grasp of rare earth with a production share of over 60 %.Japan's rare earth imports depend on China.China has taken rare earth export management measures when the Sino -Japanese relations have deteriorated.Japanese intermediate product companies, which have been embedded in the global supply chain, may be unexpectedly affected.
For example, the tadpoles in rare earth are indispensable for high -performance magnets used in pure electric vehicles.The place of production is almost limited to China.Chinese statistics show that the exports of Japan accounted for 72 % of Japan in 2018.Japanese companies purchase crickets from China to create magnets and then sell them globally.If Sino -US opposite has caused American companies to become an embargo, the procurement of Japanese magnet companies that supply products may also be affected.
Yamato Comprehensive Research surveyed that Japan relied on products imported from China. Among them, the drone was as high as 62 %, and the semiconductor devices such as transistors were 52 %.There are 90 % of the magnesium used for automotive parts and other materials, and more than 90 % of carbonate, etc., which are the main raw materials such as accumulated ceramic capacitors.
The draft China's export control law also adds the terms of the field of domain.It is clearly pointed out that the violations of Chinese abroad will also be handled and investigated in accordance with the law.The specific punishment content is currently unknown, but it is difficult to deny risks.
