China accused the United States of “misuse of export controls”
Beijing:
Beijing on Saturday accused the United States of “bullying” after Washington announced export controls on dozens of Chinese companies over alleged ties to the Chinese military.
The announcement – in the closing weeks of President Donald Trump’s tenure – comes after relations between Washington and Beijing soured under his administration, which saw the US start a trade war with China and expand the list of sanctioned entities to a few hundred Chinese companies. and subsidiaries.
China’s Commerce Ministry said on Saturday that it “strongly opposes” the move, which will affect the country’s largest chip maker, SMIC, and pledged to “take the necessary steps” to safeguard the rights of Chinese companies.
The Department accused the United States of “abusing export controls and other measures to” continually repress foreign entities “and urged Washington to” end unilateralism and harassment. “
In a statement, Secretary of Commerce Wilbur Ross said that the designations, which limit US companies’ ability to do business with the companies, are due to a range of charges, including human rights violations, the activities of the Chinese military, particularly in the South Chinese Ocean. as well as theft of US technology.
The new US restrictions target 77 companies and affiliates, including 59 in mainland China, including SMIC, as well as SMIC’s Hong Kong unit and entities in more than half a dozen other countries, from Bulgaria to France and Pakistan.
“China’s corrupt and bullying behavior both within and beyond its borders harms US national security interests, undermines the sovereignty of our allies and partners, and violates the human rights and dignity of minority ethnic and religious groups,” Ross said.
“Trade will ensure that US technology – developed and produced according to open and free market principles – is not used for malicious or offensive purposes.”
SMIC has received billions of dollars in support from Beijing and is at the heart of its efforts to improve the country’s technological self-sufficiency.
The designation means that US companies must apply for a license before exporting to SMIC, and specifically focuses on the Chinese company’s ability to acquire materials to produce chips of 10 nanometers or smaller, the best in the industry.
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