After U.S. National Security Adviser Jake Sullivan last week said the Biden administration is preparing new sanctions against Chinese entities, including possibly financial institutions, for supporting Russia's military, China said it “firmly rejects all kinds of illicit unilateral sanctions” that the U.S. may be considering.
Exports to China
The World Trade Organization's published agenda for the Dispute Settlement Body's July 26 meeting indicates China will request the establishment of a dispute settlement panel on the U.S. government's tax credits for electric vehicles under the Inflation Reduction Act.
A new research briefing by the U.K. Parliament's House of Commons examines the current state of sanctions against Russia, allied efforts to tackle sanctions evasion and the top countries continuing to support Russia’s military despite the restrictions: China, Iran, North Korea and Belarus. The 24-page report notes that the “focus” of the Group of 7 countries, along with the EU, has recently shifted to “preventing sanctions evasion and closing any remaining loopholes in the existing regime,” although Russia continues to find workarounds. The report said “questions remain” over “the effectiveness of those sanctions as Russia has sought alternative markets and established new trade routes and methods for circumvention.”
Congress should get on with passing long-standing legislation on China sanctions and outbound investment, two Republican senators said during a panel discussion at the Aspen Security Forum in Colorado last week.
European officials last week called for more EU-U.S. cooperation on China policy, particularly around trade restrictions, to respond to Beijing’s unfair market practices and deter its military.
The leaders of the House Select Committee on China and the Congressional-Executive Commission on China urged the Biden administration July 17 to sanction 28 Hong Kong government officials for recent efforts to dismantle the Chinese territory's autonomy and stifle political dissent.
Sen. Martin Heinrich, D-N.M., introduced legislation last week aimed at modernizing the Bureau of Industry and Security’s aging information technology systems.
Maxim Marchenko, a Russian national living in Hong Kong, was sentenced on July 17 to three years in prison for his role in shipping dual-use, military grade organic light-emitting diode (OLED) micro-displays for Russian end users (see 2309190063), DOJ announced. He will serve three years of supervised release following his prison sentence.
The Office of Foreign Assets Control this week sanctioned more people and vessels across Asia and the Middle East for their roles in aiding the Yemen-based Houthis through illegal shipping and financing networks. OFAC said the designations specifically target people with ties to Houthi financier Sa’id al-Jamal see (see 2406170026, 2312280012, 2401120015 and 2403260016).
The Federal Maritime Commission announced this week that it’s adding China-based Anji Shipping Co. to its Controlled Carrier List, a list of carriers subject to increased FMC regulations because they are directly or indirectly owned by foreign governments. The FMC said Anji will be subject to certain controlled carrier regulations, including rate review standards to ensure that it doesn't unfairly use its government-supported position against competitors.