Recent actions by the US Department of Commerce to further tighten restrictions for technology sales to Huawei and its chipmaker HiSilicon have rekindled fears that China may finally publish an Unreliable Entity List (UEL). In a report published shortly following Commerce’s actions to tighten US export control regulations, a Chinese tabloid linked to the government threatened that several US companies would soon be added to an imminent UEL in retaliation.
China Market Intelligence
More than three months into the implementation of the Phase One trade agreement, progress has been mixed and uncertainty about the deal’s efficacy and durability is on the rise. While China has taken steps to provide greater market access for US agricultural products, improve intellectual property protection, and liberalize financial services, impacts from COVID-19 and tariffs led China to fall short of its purchasing goals by more than half.
A dispute regarding the rights of US commercial airlines to service flights between the United States and China, and ongoing entry restrictions for foregin visa and residence permit holders, have continued to hamper the ability to return to China. While both situations could change abruptly, US businesses with China operations should account for continued uncertainty about when and how to get staff members back to China.
The National People’s Congress (NPC) has started meeting, following a two-month delay. This meeting attracts some 3,000 legislators and officials from all over China to gather in one room in Beijing; it epitomizes confidence that China’s COVID-19 epidemic is under control for the time being. Four themes will dominate the session: (a) addressing the impact of COVID-19, (b) China’s global status in an era of US-China confrontation, (c) China’s 2020 economic growth trajectory, and (d) continued...
On May 22, China’s National People’s Congress (NPC), kicked off its annual session, which had been postponed since March due to COVID-19. As scheduled, Premier Li Keqiang gave a briefing on the 2020 Government Work Report, which reviews performance in the previous year and provides an outline of work for the year to come.
US-China trade plummeted in the first quarter of 2020 as global economic activity slowed dramatically due to COVID-19. Recently released US trade data show that goods imports from China dropped 28.4 percent year on year, while exports dropped 15.4 percent. US-China trade had already suffered in 2019 compared to years prior as a result of tariffs enacted by both countries.
On April 27, the Cyberspace Administration of China (CAC), with 11 other ministries, released the final version of the Cybersecurity Review Measures (“measures”) which will build on a patchwork of documents implementing China’s Cybersecurity Law. The measures will govern the process for regulators to assess supply chain vulnerability of certain network systems that could impact China’s national security. The measures will go into effect on June 1, replacing the network security measures, a...
The spread of COVID-19 in the United States has underscored partisan divides on policy while simultaneously bringing to the surface some issues where long-term interests vis-à-vis China align. While some of the anti-China noise in Washington is political bluster, such as proposals to strip China of its sovereign immunity, other initiatives with bipartisan support could have broader implications for the direction of the US-China commercial relationship and supply chain resiliency.
On April 26, China’s National People’s Congress Standing Committee issued draft amendments to the Copyright Law, which are open for public comment until June 13. The original Copyright Law was adopted in 1990 and the current version was last amended in 2010. While the State Council solicited public comments on potential revisions to the law in 2012 and 2014, revisions stalled after 2014.
President Donald Trump’s April 4 executive order (EO) formalizing Team Telecom’s role in ICT reviews has brought new transparency to the licensing process while further entangling US national security and commercial interests. The interagency team, officially called the Committee for the Assessment of Foreign Participation in the United States Telecommunications Services Sector, is empowered to assist the Federal Communications Commission (FCC) in assessing whether certain foreign...