The Commerce Department wants to expand export controls to majority-owned subsidiaries of Chinese companies. That could trigger cascading effects — and challenges.
A Huawei store. Credit: JHVEPhoto, Shutterstock
A planned rule by the Trump administration could lead to a dramatic rise in the number of Chinese companies subject to U.S. export controls — and a big headache for American firms selling products into China.
Right now, only companies explicitly named on the Commerce Department’s trade blacklist, known as the ‘Entity List,’ face export controls, limiting what American companies can legally sell to them without a license. But the new, so-called ‘50 percent rule’ would impose
Exclusive longform investigative journalism, Q&As, news and analysis, and data on Chinese business elites and corporations. We publish China scoops you won't find anywhere else.
A weekly curated reading list on China from Andrew Peaple.
A daily roundup of China finance, business and economics headlines.
We offer discounts for groups, institutions and students. Go to our Subscriptions page for details.
Walmart should be in trouble in China, where its competitors are in retreat and its sourcing operations have been criticised by both Beijing and Washington. But the American retailer seems to have found a way forward in a difficult sector and remains one of the biggest benefactors of China-U.S. trade.
We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it.OKPrivacy policy
