China to blacklist 'unreliable' companies, force them to choose sides

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The implications of the new 'unreliable entities list' will be far-reaching

China announced on Friday that it would establish a blacklist of "unreliable" foreign companies and organisations, effectively forcing companies around the world to choose whether they would side with Beijing or Washington.Chinese state media reported that the new "unreliable entities list" would punish organisations and individuals that harm the interests of Chinese companies, without detailing which companies would be named in the list or what the punishments would include.

"I think foreign and especially US firms now have to worry that China is creating a new 'legal pretext' to at least impose exit bans on foreign individuals who make this new list, if not worse," said Bill Bishop, editor of thenewsletter, referring to the Chinese practice of not allowing designated foreigners to leave China.

Trump's executive order this month abruptly deprived the Shenzhen company access to operating systems and cutting-edge semiconductors, prompting China to accelerate efforts to build homegrown alternatives to Google and Intel. Analysts say China's rare earths threat is highly credible because it could take years for the United States to ramp up production of its own rare earths - the domestic industry practically disappeared in the 1990s. Roughly 80 per cent of US imports come from China, according to the US Geological Survey.

 

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chinese carrying around bags of cash.....“so who do you choose?”.

Alexander Downer

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