China Criticizes US Sanctions for National Companies – Economics Bitcoin News

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The Chinese government has expressed its dissatisfaction with the US sanctions imposed on a number of its national companies that have been barred from conducting business in the US for allegedly cooperating with Russia. The Ministry of Commerce has called this act a “typical form of long-arm jurisdiction” and a violation of the rights and interests of the companies.

China Rejects Sanctions on National Businesses

The Chinese government has voiced its objection to the recent sanctions placed on a number of national companies accused of associating with terrorists. The firms, mostly in the electronics industry, were used as a bridge to purchase US technology in order to provide it to Russian entities, circumventing the Office of Foreign Assets Control (OFAC) and other restrictions.

A statement from the Ministry of Commerce rejected this move.

It is a form of unilateral sanction, a “long-arm jurisdiction,” which severely harms the legitimate rights of businesses and threatens the stability and security of the global supply chain.

Moreover, China has declared that it will take measures to protect the rights and interests of its companies and correct this wrong.

This is not the first time that Chinese companies have been sanctioned for allegedly collaborating with other countries in order to bypass existing restrictions. In March, a group of Chinese firms were chosen to work with Iranian ones in support of the Russian war efforts. Additionally, sanctions were imposed on companies for incorporating an unregulated shadow banking system.

US Sanctions

Experts are worried about the possible consequences of the sanctions on the bilateral relations between the US and China, which are already strained by developments in the Taiwan issue. For former US Treasury Secretary Hank Paulson, “the US-China relationship is on the brink,” and recent government policies have not helped to improve the situation.

In a recent interview with the Financial Times, Paulson remarked:

If the US goes beyond what our allies or partners want, we will isolate the US.

Recently, President Joe Biden extended a number of sanctions against military and industrial firms in Russia.

What are your thoughts on the recent sanctions against Chinese companies? Let us know in the comments below.

Sergio Goschenko

Sergio is a journalist who mainly covers cryptocurrency. A Venezuelan native, he considers himself a late-comer to the cryptosphere, having only entered it when prices surged during December 2017. He holds a computer engineering degree and, from his experience living in Venezuela, offers a unique perspective on the success of crypto and how it benefits the unbanked.

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