China’s expanded export ban poses fresh challenge to global tech industry

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The rules were a surprise to many in the market, experts say.

The new list of technologies banned from export announced on Aug 28 came as an unwelcome surprise to an industry already grappling with the uncertainty posed by trade tensions between China and the United States.

In addition to recommendation algorithms such as those used by ByteDance-owned TikTok, the new list of “partially restricted exports” includes drone and cybersecurity technology, voice recognition software, and handwriting scanning software. The Ministry of Commerce was quick to respond to speculation that the new rules were aimed mainly at TikTok, saying they were not targeted at any one company.

A Tencent source, which has a slew of overseas subsidiaries and invested companies, said the company was waiting for clarification on what the rules would mean for technology-sharing with these units.

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