China Imposes Export Controls On 40 Japanese Entities Amid Tensions

On February 24, 2026, China escalated its diplomatic tensions with Japan by imposing export controls on 20 Japanese entities, including major corporations like Mitsubishi Heavy Industries and the Japan Aerospace Exploration Agency (JAXA). The Chinese Ministry of Commerce justified these measures by citing national security concerns, claiming that these entities contribute to Japan's military capabilities. A statement from the ministry declared, "The above measures are aimed at curbing Japan’s ‘remilitarization’ and nuclear ambitions and are completely legitimate, reasonable and lawful." Additionally, an extra 20 Japanese entities were added to a watch list, which will subject them to stricter scrutiny regarding the export of dual-use items, which have both civilian and military applications. Companies on this list must apply for individual export licenses and provide assurances that their items will not enhance Japan's military capabilities, as reported by the South China Morning Post.