Entities on China’s 'unreliable list' to face legal and administrative heat

Source:Global Times Published: 2019/6/1 18:33:42

Any entities on China’s proposed unreliable entity list will be subject to necessary legal and administrative measures in the country, officials of the Ministry of Commerce (MOFCOM) said on Saturday.

The officials were speaking to a group of reporters at MOFCOM a day after China announced that it will soon release relevant rules on its proposed list targeting foreign entities that seriously undermine legitimate interests of Chinese companies.

Chinese analysts consider this move one of the most powerful retaliatory measures against US persecution of Chinese companies such as Huawei, reflecting China's determination to protect the legitimate rights of its companies in overseas markets. 

The Chinese decision to roll out such a list draws on international practices, and is aimed at safeguarding fair and reasonable global trade and economic order, said Zhi Luxun, head of Bureau of Industry, Security, Import and Export Control at MOFCOM.

The list is also aimed at resisting unilateralism and protectionism and protecting China’s national security, public interests and legitimate interests of Chinese companies. 

Globalization has made the world’s industrial chain intertwined. According to MOFOCM, “middle products” accounted for 78 percent of China’s imported goods in terms of value in 2018, and 47.5 percent of Chinese exports are “middle products.” 

The criteria for listing include foreign entities that block and shut the supply chain, take discriminatory measures over non-commercial reasons, and have caused concrete or potential damage to Chinese companies and industries. Endangering or potentially endangering China’s national security is also listed as criteria. 

Once such firms are listed, they face necessary legal and administrative measures and the Chinese society can also be warned against dealing with them to reduce risks. 

The legal basis of the list is solidly supported by Chinese laws, according to MOFCOM.

The list is under a legal process and will be rolled out in the near future.


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