China to restrict exports of some aerospace parts

BEIJING (Reuters) China’s Commerce Ministry said on Thursday it would restrict exports of some aviation and space parts from July 1, citing the need to safeguard national security and interests.

Those wanting to export items such as aerospace structural parts, equipment and software used in engine manufacturing will need to apply for export licenses, according to a statement jointly signed by the General Administration of Customs and the Central Military Commission.

“In order to safeguard national security and interests and fulfill international obligations such as nuclear non-proliferation, with the approval of the State Council and the Central Military Commission, we have decided to implement export controls on the following items,” the statement said.

The list also included gas turbine engines, molds for making space suit parts, the equipment and software used in their production, and advanced polymers used in bulletproof clothing.

According to the statement, exporters will have to apply for an export license from the Department of Commerce, which will determine whether the items in question are “dual-use” for military purposes.

The Chinese government introduced the Export Control Act in late 2020 amid an escalating trade war triggered by tariffs imposed by the Trump administration on $300 billion worth of Chinese products in 2018. At the time the bill was passed, analysts said the act was primarily a cleanup exercise to consolidate numerous laws into one.

For example, the United States and the European Union also restrict the export of various aerospace parts due to concerns that hostile nations could use them for “dual-use” purposes.

“China has studied international practices and implemented export controls on relevant items according to its own needs,” the Commerce Department briefing said.

“The relevant policies do not target any specific country or region. Exports will be allowed if they comply with relevant regulations,” he added.