China tightens export restrictions

Broad new limits could cause supply interruptions for arms makers, as well as manufacturers in the semiconductor, automotive and other sectors, writes Keith Bradsher from Shanghai

- Keith Bradsher

A cargo ship sails into the port of Qingdao in China's Shandong province on Monday. China's new export rules go far beyond the limits it has placed since April on the export of rare earth metals and magnets.

(AFP)

From cars and computer chips to tanks and fighter jets, China's new export restrictions represent a sweeping effort to control global commerce and have set off a renewed trade fight that pits Beijing against not only the United States but also Europe.

The new regulations, which take effect in stages on Nov 8 and Dec 1, apply to the entire world, sharply escalating China's sway over critical manufacturing at a time of increased international fractures over trade. The restrictions led President Donald Trump on Friday to threaten to impose new 100% tariffs on Chinese imports starting Nov 1.

The rules go far beyond China's limits since April on the export of rare earth metals, which are mined and processed mainly in China, as well as magnets made from those metals. In a series of announcements on Thursday, China extended its restrictions to worldwide shipments of electric motors, computer chips and other devices that have become central to modern life and are now manufactured mainly in China.

The regulations prohibit exports from China to any country of materials or components for use in military equipment. Among the items banned are the small yet powerful electric motors in missiles and fighter jets and the materials for crucial range finders in tanks and artillery that are used to zero in on distant targets.