On April 28, 2020, the US Commerce Department announced new rules restricting exports to China. The restrictions are intended to prevent technology and other products from being used to support the Chinese military. The new rules tighten existing export control regulations and require US companies to obtain a license in order to sell specific products to businesses in China. This decision broadens the scope of products that must be reviewed by national security regulators before being shipped overseas.
Products that support or contribute to Chinese military operations are being restricted. This includes products involved in the installation, maintenance, repair, overhaul, refurbishment, development, or production of military items, even if they are intended for civilian use. The new regulations restrict shipments to any Chinese company that has direct or indirect involvement with the People’s Liberation Army. This eliminates exceptions that allowed exports of sensitive US technology from certain US-aligned territories, including Hong Kong. The restrictions also apply to US shipments to Russia and Venezuela.
