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| China passes laws to restrict the export of sensitive technology |
Chinese lawmakers passed a new law to control the export of sensitive goods, services and technology in response to increasingly strict US restrictions on Chinese tech companies.
Analysts said the new law makes it difficult for US and Chinese technology companies to do business in both countries, and it also makes it more difficult for Chinese companies to do business globally.
The state-run Xinhua News Agency issued a report on the new law, stating that the law will enter into force on December 1.
According to the report, China may take reciprocal actions against any country or region that violate export control measures and threaten national security and interests based on actual conditions.
As tensions with the United States escalated, the Export Control Act was introduced, which covers military and nuclear products, as well as goods, technology, and other services.
During the final review of the legislation, a member of the National People's Congress suggested that the law clearly cover the following areas: Source codes and algorithms for computer programs.
Another member said: The law should strengthen the protection of the world of advanced technologies in China, such as 5G and quantum communications.
The final version of the law has yet to be announced. However, a draft proposal published in June states that the law aims to protect national security by regulating the export of sensitive items on the watch list.
Tensions between China and the United States have recently escalated and spread to the world of technology. Well-known companies like Huawei and TikTok are involved in the war between Washington and Beijing.
The US government is threatening to ban TikTok unless its Chinese parent company (ByteDance) sells popular video-sharing apps and the fate of the contract with Oracle and Walmart remains pending.
Soon, the Chinese government put out a blacklist that could be used to punish US companies suspected of harming China’s interests. However, Beijing is reluctant to publish the list as some of them made it clear that they should wait for the elections. American.
China remains poorly placed compared to the United States when it comes to major technologies such as semiconductors.
China does not seem to want to increase tensions. Because the United States can still do many things with the Entity List.
In August, China updated its export checklist, which includes the main technologies TikTok uses.
ByteDance announced in late September that it had applied for a license to comply with the revised Chinese regulations but provided no additional information.