China's commerce ministry announced Tuesday it has placed export controls on 20 Japanese companies and entities, including Mitsubishi and the Japanese space agency, over concerns of their military ties. An additional 20 entities, such as Subaru, were added to a watch list requiring enhanced scrutiny for dual-use items.
A ministry statement asserted these measures aim to curb Japan's 'remilitarisation' and nuclear ambitions, deeming them legitimate and lawful. Beijing stated that these actions target a limited number of entities and dual-use items, not impacting general trade between the two nations. Companies on the watch list can seek removal by cooperating with verification terms.
This move follows increased tensions after Japanese Prime Minister Sanae Takaichi suggested a potential military response to an attack on Taiwan. Beijing has previously announced broad export bans on goods with potential military applications and has reportedly begun restricting exports of rare earths and magnets to Japanese companies.