China Hits Back at U.S. Sanctions Restricting its Exports to American Defense Firms

China on Monday announced sanctions on 10 American military-related companies in response to a recent U.S. move that bars some leading Chinese tech companies from defense contracts.

Image: The U.S. and Chinese flag at the Great Hall of the People prior to the state dinner of President Donald Trump and Chinese President Xi Jinping on May 14, 2026, in Beijing. Mark Schiefelbein/AP

 

China on Monday announced sanctions on 10 American military-related companies in response to a recent U.S. move that bars some leading Chinese tech companies from defense contracts.

The Commerce Ministry said that Chinese companies would be blocked from exporting “dual-use” items to the 10 companies, which include military drone makers and some involved in rare earth mining. Dual use refers to goods that can have military as well as non-military applications.

The ministry said the export ban was both to safeguard China’s national security and in response to what it called the U.S. government’s “wrongful expansion of its so-called List of Chinese Military Companies.”

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