BUSINESS

China Retaliates Against EU With Dual-Use Export Bans

Published: Jul. 27, 2026 7:07 p.m. GMT+8

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China has banned exports of dual-use items to 14 additional EU entities in retaliation for Brussels’ earlier move to sanction 14 Chinese firms over their alleged support for Russia’s war in Ukraine.

Chinese companies will not be allowed to export dual-use items, which can be used for both civilian and military purposes, to the 14 EU organizations, China’s Ministry of Commerce said in a statement on Friday.

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China banned dual-use exports to 14 EU entities retaliating for EU sanctions on 14 Chinese firms over Ukraine.
Targeted entities include Rheinmetall, Cavok UAS, Vigo Photonics, and Lafert.
Second such ban; first in April over Taiwan. EU Chamber noted supply chain disruptions.

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Who’s Who

Rheinmetall AG: Rheinmetall AG is a German arms manufacturer added to China's export control list. China banned the export of dual-use items to it and 13 other EU entities. This measure is retaliation for the EU sanctioning Chinese firms over Russia's war in Ukraine.

Cavok UAS: Cavok UAS is a French drone maker. It was one of 14 EU entities added to China's export control list for dual-use items. Chinese companies are banned from exporting such items to it. The measure is a retaliation for the EU adding Chinese firms to its sanctions list over Russia's war in Ukraine.

Vigo Photonics S.A.: Vigo Photonics S.A. is a Polish semiconductor company added to China's export control list. China banned exports of dual-use items to it and 13 other EU entities in retaliation for EU sanctions on Chinese firms over alleged support for Russia's war in Ukraine.

Lafert SpA: Lafert SpA, an Italian electric motor maker, was added to China's export control list. China banned exports of dual-use items to it and 13 other EU entities in retaliation for the EU sanctioning Chinese firms over alleged support for Russia's war in Ukraine.

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What Happened When

April 2026：: China's Ministry of Commerce, for the first time, placed seven entities from the EU on its export control list, banning them from receiving dual-use items made in China over their alleged involvement in arms sales to Taiwan.

Before July 24, 2026：: The European Union Chamber of Commerce in China reported in April 2026 that Beijing's export controls on rare earths had already disrupted supply chains and hurt revenues for European firms.

Thursday, July 23, 2026：: The European Union added 14 Chinese mainland and Hong Kong entities to its latest list of sanctions against Russia.

Friday, July 24, 2026：: China's Ministry of Commerce announced a ban on exports of dual-use items to 14 additional EU entities, including Rheinmetall AG, Cavok UAS, Vigo Photonics S.A., and Lafert SpA, in retaliation for the EU's sanctions.

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