China to establish 'unreliable entity list' of foreign companies

China to establish 'unreliable entity list' of foreign companies
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China is set to establish an “unreliable entity list” of foreign companies and individuals that “seriously damage” Chinese enterprises, a spokesperson for China’s Commerce Ministry announced Friday.

The move is seen as retaliation against efforts by the Trump administration to block Chinese telecom company Huawei from doing business in the U.S.

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“Foreign enterprises, organizations or individuals that fail to comply with market rules, deviate from the spirit of the contract, and impost a blockade or confiscation of Chinese enterprises for non-commercial purposes, which seriously damage the legitimate rights and interests of Chinese enterprises, will be included in the list of ‘unreliable entities,'" the spokesperson said, adding that “specific measures will be announced in the near future.”

President TrumpDonald TrumpSix big off-year elections you might be missing Twitter suspends GOP Rep. Banks for misgendering trans health official Meghan McCain to Trump: 'Thanks for the publicity' MORE signed an executive order earlier this month that allows his administration to block foreign tech companies from doing business in the U.S. if they are deemed a national security threat.

Shortly after, the U.S. Department of Commerce added Huawei to its “entity list,” effectively banning the company from buying components from American companies without government approval.

The spokesperson for the Chinese Ministry of Commerce stressed that its list is being created because of an increase in “unilateralism and trade protectionism,” in what appeared to be a reference to the United States.

The spokesperson added that the list is meant to “safeguard economic and trade rules and multilateral trading system, oppose unilateralism and trade protectionism, and safeguard China’s national security, social public interests and legitimate rights and interests of enterprises.”

The announcement was made the same day China warned Canada of potential “consequences” if it decided to ally with the U.S. against China in the ongoing trade war, and also as Secretary of State Mike PompeoMike PompeoObama looks to give new momentum to McAuliffe The CIA's next mission: Strategic competition with China and Russia Biden, Trump tied in potential 2024 match-up: poll MORE warned Germany not to use 5G networks rolled out by Huawei.