China · Export Control · Trade

China’s Ministry of Commerce (MOFCOM) issued Announcement No. 30 of 2026, adding 14 EU-based entities — including German defence manufacturer Rheinmetall AG and Czech military-vehicle maker TATRA TRUCKS a.s. — to China’s Export Control List, banning the export of dual-use items with immediate effect.

What Happened

On July 24, 2026 — one day after the EU adopted its 21st sanctions package listing 14 mainland Chinese and Hong Kong companies — MOFCOM issued Announcement No. 30 of 2026 under the Export Control Law of the People’s Republic of China and the Regulations on Export Control of Dual-Use Items. The measure prohibits Chinese export operators from supplying dual-use items to the 14 named EU entities and bars overseas organizations/individuals from transferring China-origin dual-use items to them, effective immediately.

What’s New

  • 14 EU entities listed across 8 countries: Lafert S.p.A. and Garnet S.r.l. (Italy); Sindlhauser Materials, Rheinmetall AG, and Antraco Chemie-Handelsgesellschaft (Germany); InPACT S.A., III-V LAB, and Cavok UAS (France); Vigo Photonics and Politechnika Wroclawska (Poland); IHC Merwede Holding (Netherlands); TATRA TRUCKS a.s. (Czech Republic); Opticoelectron Group (Bulgaria); Ekspla UAB (Lithuania).
  • Entities span defence/military vehicles, drones, photonics/semiconductors, lasers, and maritime/shipbuilding technology sectors.
  • Explicit licensing channel remains open: export operators may apply to MOFCOM for approval to export in special circumstances.
  • Framed as a direct, fast countermeasure to the EU’s addition of 14 Chinese/Hong Kong firms to its Russia-sanctions list one day earlier.

Key Dates & Compliance Deadlines

July 23, 2026 — EU 21st Sanctions Package

EU adopted its 21st sanctions package targeting 14 Chinese/Hong Kong firms.

July 24, 2026 — MOFCOM Announcement No. 30

China issued immediate export ban on dual-use items to 14 EU entities.

Affected Industries

Defence and military vehicle manufacturing; drone/UAS technology; photonics and semiconductors; laser technology; maritime/shipbuilding — impacting the 14 named entities and their supply chains reliant on Chinese-origin dual-use goods, including rare earth elements.

Who Is Affected

The 14 named EU entities directly; Chinese exporters (who must cease supply immediately); any foreign firms using Chinese-origin dual-use components destined for these entities.

Substances / Products in Scope

Not a chemical/product-composition restriction — covers dual-use items (including certain rare earth elements) under China’s Export Control Law and Dual-Use Items Export Control Regulations.

Prohibitions, Restrictions & Exemptions

Immediate prohibition on export of dual-use items from China to the 14 named entities; prohibition on overseas transfer/provision of China-origin dual-use items to these entities; any ongoing related transactions must stop immediately; exceptional-case export requires MOFCOM approval.

What Companies Should Do

  • Automotive and defence-adjacent suppliers: assess exposure to Chinese-origin dual-use components or rare-earth-dependent supply chains linked to any of the 14 named entities.
  • Review contracts and ongoing shipments involving the listed entities for immediate compliance risk.
  • Monitor for further reciprocal EU-China trade measures, given the fast-escalating pattern of retaliatory listings.
  • Note that some affected companies (e.g., Tatra Trucks) have stated limited direct exposure to restricted Chinese inputs — verify supply-chain risk individually.
Key Takeaway

This is a geopolitically significant trade-control action with direct relevance to automotive and defence-adjacent supply chains — the broader EU-China trade relationship is visibly deteriorating and warrants ongoing monitoring for further retaliatory measures.

 

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