The nation imposed export restrictions on 40 Japanese companies and entities, citing national security concerns, as Beijing escalated a months-long row that has seen Chinese tourism to Japan plummet.
The countries have been locked in a spat over comments by Japanese Prime Minister Sanae Takaichi in November that Tokyo could intervene militarily in any attack on self-ruled Taiwan.
In the latest move, China’s commerce ministry restricted exports to 20 Japanese entities, including five subsidiaries of Mitsubishi Heavy Industries as well as Japan’s space agency. They are accused of helping to enhance Tokyo’s military capabilities.
Starting yesterday, Chinese exporters will not be able to supply dual-use items to the listed Japanese entities, and overseas firms are banned from providing them with dual-use items originating in China.
The ministry added a further 20 Japanese entities, including automaker Subaru, to a “watch list” requiring stricter reviews of exported items that could be used for military purposes.
“The measures are aimed at curbing Japan’s ‘remilitarisation’ and nuclear ambitions and are completely legitimate, reasonable and lawful,” a statement said.
But the latest move singles out dozens of Japanese heavyweights, with shares of several firms falling after the announcement.
Kawasaki Heavy shares sank almost 5% in Tokyo, while Mitsubishi Heavy Industries shed close to 4% and IHI tumbled nearly 7%.
China’s commerce ministry said its actions only target a “small number of Japanese entities” and “do not impact normal economic (exchanges) and trade between China and Japan.
Japan has been shedding its strict pacifist stance, moving to obtain “counterstrike” capabilities and to ease rules on exporting lethal defence equipment. — AFP
