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World News Updated Aug 5, 2026

China Strikes Back: Blacklists 6 US Firms, Tightens Drone Exports

China announced retaliatory measures against the US, blacklisting six American companies and tightening drone export restrictions. The move follows fresh US tariffs linked to forced labor and national security. A Chinese Commerce Ministry spokesperson said the US actions "seriously harm China's legitimate rights and interests," prompting necessary countermeasures. The dispute escalates ahead of Chinese President Xi Jinping's scheduled US visit in September.

Beijing blacklists six US firms, curbs drone exports after fresh tariffs

Beijing, August 5

China on Wednesday unveiled a suite of economic retaliatory measures against the United States, placing six American companies on a sanctions blacklist and tightening export restrictions on drones heading to Washington.

The move follows fresh US trade sanctions linked to forced labour and national security considerations.

The countermeasures were announced after Washington introduced new tariffs targeting Beijing and more than 50 other countries as part of US President Donald Trump's wider trade push, which he argued was necessary to address trade deficits that were "unfair" to Washington.

Hitting back at the measures, a Chinese Commerce Ministry spokesperson stated that the US actions "seriously harm China's legitimate rights and interests."

"China can only take necessary countermeasures in response, including strengthening export controls on drones and their key components and technology to the US," the spokesperson added.

As part of its enforcement strategy, the Commerce Ministry suspended factory follow-up inspections conducted by domestic certification bodies, blacklisted US compliance testing firms, and launched national security investigations into imports of office copiers and printers.

Beijing also slapped sanctions on six US companies, including biotechnology firm Applied DNA Sciences and geoscience research outfit Stratum Reservoir, barring Chinese individuals and organisations from "engaging in relevant transactions, cooperation, or other activities with them."

The ministry stated that the six blacklisted firms "have assisted and supported illegal US sanctions related to Xinjiang; the nature of their actions is egregious."

The United Nations has previously warned of potential crimes against humanity in Xinjiang against the predominantly Muslim Uyghur minority, allegations that Beijing has repeatedly denied.

In a telephonic conversation, China's senior trade envoy He Lifeng expressed "serious concern" to US Trade Representative Jamieson Greer over the latest trade restrictions, state news agency Xinhua reported.

The dispute follows earlier allegations by Beijing that Washington was attempting to "suppress" Chinese enterprises after the US prohibited imports of humanoid and quadruped robots manufactured outside its borders.

The latest US tariffs, issued under forced labour concerns, came after the US Supreme Court struck down reciprocal tariffs implemented under the International Emergency Economic Powers Act. Following that ruling, the US administration imposed temporary 10 per cent tariffs, capped at 150 days, which expired last month.

Although trade relations had stabilised following a meeting between Donald Trump and Chinese President Xi Jinping last October, the renewed friction comes ahead of Xi's scheduled visit to the United States on September 24.

— ANI

Reader Comments

Priya S

The timing of this escalation right before Xi's visit to the US in September is curious. Both countries are playing hardball, and meanwhile, developing nations like India are caught in the crossfire of trade wars. We must diversify our trade partnerships to avoid such dependencies.

Ravi K

This is what happens when superpowers flex their muscles. China's response with drone export controls is strategic. India should learn from this and strengthen its own domestic manufacturing under Make in India rather than relying on either superpower.

Ananya R

Honestly, the US using "forced labour" allegations for trade sanctions is a double-edged sword. India could face similar accusations given our labour standards. We need to be prepared and ensure our trade policies are robust against such measures. The geopolitical chess game is getting intense. 😕

Suresh O

Trump's tariff strategy looks more like a chaos-maker than a solution. The US Supreme Court struck down his earlier reciprocal tariffs, and now he's back with these 10% ones. For India, this means we should accelerate FTA talks with both countries while they're distracted with each other.

Meera T

The UN warning about Xinjiang makes this complex. While I understand China's right to respond, invoking national security for copier imports seems like an overreach. India must tread carefully in this US-China rivalry, especially with our own border tensions with China.

K We welcome thoughtful discussions from our readers. Please keep comments respectful and on-topic.

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