US addition of Chinese firms to sanctions list disregards WTO rules; China vows to take necessary measures to protect enterprises' rights: MOFCOM spokesperson
The US continues to overstretch the concept of national security, disregard WTO rules and market principles, abuse state power, and unjustly accuse China of pursuing a "military-civil fusion" strategy, a move that China firmly opposes, a spokesperson of China's Ministry of Commerce (MOFCOM) said on Wednesday.
The remarks were made in response to the decision by the US Department of Defense to add several Chinese tech companies to a list of firms allegedly working with China's military. The blacklisted Chinese companies disputed on Tuesday their inclusion on the list, with companies such as Tencent, CATL and Quectel Wireless Solutions stating that the move is "a mistake."
The MOFCOM spokesperson said that the US unjustifiably suppresses Chinese enterprises, and such actions severely disrupt international trade and economic order, and endanger the stability of global industry and supply chains.
China urges the US to respect facts and rules, immediately cease its wrongful actions, and provide Chinese companies with fair, just and non-discriminatory treatment, the spokesperson said.
China will closely monitor relevant developments and take all necessary measures to resolutely safeguard the legitimate rights and interests of Chinese enterprises, the spokesperson noted.
According to a document published by the US Department of Defense on Monday, it added several Chinese tech giants, such as Tencent Holdings, leading battery maker CATL, artificial intelligence software company SenseTime, as well as China COSCO Shipping Corp, among a number of other Chinese companies, to its Section 1260H list of firms allegedly linked to China's military.
On Tuesday, the Chinese Foreign Ministry urged the US to immediately correct its wrong practices and lift illegal unilateral sanctions and long-arm jurisdiction on Chinese companies.
The sanctions imposed by the Pentagon on Chinese companies are politically motivated and lack solid basis and transparency, Huo Jianguo, a vice chairman of the China Society for World Trade Organization Studies in Beijing, told the Global Times on Wednesday, noting that "These restrictions are a misuse of the concept of national security. Such actions disrupt normal trade, create greater uncertainty for global economic growth, and impact industrial and supply chains, including the US itself."
In a statement sent to the Global Times on Tuesday evening, China COSCO Shipping Corp said that the company and its subsidiaries have consistently adhered to local laws and regulations, maintaining strict compliance in all international operations.
"We emphasize that none of the aforementioned companies are 'Chinese military companies.' We will engage with US authorities to clarify this matter," the statement said, noting that this designation does not impose sanctions or export controls, and its global operations will continue uninterrupted.
CATL told the Global Times that the company has never engaged in any military-related business or activities, so this designation by the Department of Defense is a mistake.
SenseTime also refuted the claims. "This decision by the US Department of Defense has no factual basis, and we firmly disagree with it," a SenseTime spokesperson told the Global Times on Tuesday.
Huo told the Global Times that the US restrictions and bans on Chinese companies have not ceased; instead, they are escalating. "Biden, before leaving office, is continuing to impose sanctions on Chinese companies, partly to avoid admitting the failure of these restrictive measures made by his administration over the years," Huo said.