China adds US sanctions, drone curbs in trade tit-for-tat

China has imposed new trade restrictions and blacklisted six US companies in response to Washington's sanctions over forced labor and national security concerns. The move comes in the wake of recent US tariffs on China and 59 other nations. Commerce ministry spokesperson stated that China must take "necessary countermeasures" in response, including strengthening export controls on drones and their key components to the US.

Beijing also suspended factory follow-up inspections, blacklisted US compliance testing companies, and initiated national security investigations into imports of office printers and copiers. Additionally, China imposed sanctions on six US businesses, accusing them of assisting illegal US sanctions related to Xinjiang. The UN has expressed concern over possible crimes against humanity in the Xinjiang region, but China vehemently denies these accusations.

China's top trade official met with the US Trade Representative to express concerns over the recent restrictions. The US and China had been embroiled in an escalating trade war throughout 2020, but a truce was reached in October when US President Donald Trump and Chinese President Xi Jinping met. However, recent US tariffs have threatened that truce, with Beijing warning against a new trade war.