China has imposed sanctions on several foreign entities, including Dedrone by Axon and TechInsights Inc., for actions it claims threaten national sovereignty and security. The Ministry of Commerce (MOFCOM) announced the measures on Thursday, adding the firms to its 'unreliable entity list' under Chinese laws designed to counter perceived risks to national interests.
A MOFCOM spokesperson stated the sanctioned entities engaged in activities such as military technology cooperation with the Taiwan region, disseminating 'egregious remarks' about China, and supporting foreign governments in suppressing Chinese enterprises. The spokesperson emphasized that the sanctions target only a 'very small number' of foreign actors violating Chinese laws, while law-abiding businesses 'have absolutely no need to worry.'
Despite the move, MOFCOM reaffirmed China's commitment to maintaining a stable and fair business environment for compliant foreign investors. The ministry stressed that the sanctions are a 'necessary and lawful' response to protect national security, not a shift in China's broader openness to international collaboration.
Analysts suggest the decision highlights Beijing's growing focus on safeguarding strategic industries amid global tech competition. The sanctions come as cross-strait tensions persist, with China reiterating its opposition to external interference in Taiwan-related matters.
