China to create company blacklist as US trade war escalates

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China announces to release a company blacklist, capping a week marked by rising Chinese threats of retaliation after the US blacklisted Huawei.

China’s Commerce ministry announced that it will release its own list of ‘unreliable entities’.

The US Commerce Department placed Huawei on an “entity list” on grounds of national security on May 16, a move that curbs its access to US-made components it needs for its equipment. A 90-day reprieve was later issued. The detailed measures against firms on the list will be released shortly, Gao said. The Chinese move appears aimed at pressuring foreign companies to maintain commercial relations with Huawei – Washington is reportedly also considering adding Chinese surveillance firms to its list for alleged human rights violations.

“Some foreign entities have violated normal market rules and the spirit of their contracts” to cut off supplies and “take other discriminatory actions against Chinese companies damaging their legitimate rights and interests, and endangering China’s national security and national interests,” Gao said, according to state-owned Global Times.

Huawei – the world’s second smartphone maker and a leader in developing next-generation 5G networks – vehemently denies the charges.

 

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