China Adds 20 Japanese Entities to Its Export Control List — Update

China has slapped trade restrictions on dozens of Japanese companies and research institutes, marking the latest escalation of tensions between the two Asian neighbors.

The Chinese commerce ministry on Monday added 20 Japanese entities, including some defense contractors, to its export control list. That would ban local exporters from providing dual-use products to these companies.

The move is aimed at safeguarding national security and interests, and to fulfill international obligations such as non-proliferation, the ministry said. It added that the entities on the list are involved in enhancing Japan's military capabilities.

Several Mitsubishi Group subsidiaries as well as research houses, including the National Institute for Defense Studies, are among those affected.

In a separate announcement on Monday, the Chinese commerce ministry added another 20 Japanese companies to a watch list covering Japan's drone and nuclear fuel sectors.

Exports to entities on this watch list will receive tighter scrutiny from authorities and exports involving Japanese military users, military applications, or any other end-uses that enhance Japan's military capabilities will not be approved.

Both decisions took effect immediately.

Earlier this year, China banned the export of critical minerals and other goods with potential military uses to several major Japanese companies, raising pressure on Tokyo for remarks Prime Minister Sanae Takaichi made about Taiwan.

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(END) Dow Jones Newswires

June 28, 2026 23:15 ET (03:15 GMT)