The Trump administration is close to announcing that 89 Chinese aerospace and other companies have military ties, banning them from purchasing a range of U.S. goods and technology, according to a copy of the list seen by Reuters.
The release of the list could increase trade tensions with Beijing and hurt US companies that sell civil aviation parts and components to China, among other industries.
U.S. A spokesman for the department’s commerce department, which produced the list, declined to comment. The Chinese Foreign Ministry did not immediately respond to a request for comment.
According to China’s Aviation Industry Corporation (AVIC) and 10 of its affiliates, China’s Commercial Aircraft Corp. (COMC), which leads China’s efforts to compete with Boeing and Airbus, is on the list.
The list includes draft rules that identify Chinese and Russian companies that are U.S. Believes “military end users”, which means that the U.S. Suppliers must be licensed to sell them a wide range of commercially available items.
As a rule, applications for such licenses are more likely to be denied than approved.
US President Donald Trump has stepped up his actions against China in recent months. Ten days ago, he joined U.S. companies in Chinese companies. Unveiled an administrative order banning the investment of, which Washington says is owned or controlled by the Chinese military.
The rest of the list comes after the Commerce Department expanded the definition of “military end user” in April.
The April Rule includes not only the Armed Services and the National Police, but any person or entity that supports or contributes to the maintenance or production of military items – even if its occupation is primarily non-military.
Restrictions on the export of specialized, scientific devices such as digital c siloscopes and aircraft parts and parts, such as computer software software such as word processing.
In terms of aircraft, items include everything from brackets for flight control busses to engines.
News of the listing comes at a sensitive time for the U.S. aerospace industry as Boeing seeks Chinese approval for its 737 Max after it was cleared by U.S. regulators last week. In March 2019, China was the first nation to have to wait months to lift sanctions after two fatal crashes. A Boeing spokesman declined to comment.
Kevin Wolf, a trade lawyer at Washington Commerce, a former commerce official, said he shared the draft rule with the technical advisory committee of representatives of the commerce industry and should keep it secret.
Wolfe said the rule and list could still be changed and that the clock is ticking to implement it under the Trump administration, as it will need to send it to the U.S. official publication Federal Register for rules by mid-term. -December.
In a draft rule seen by Reuters, the Commerce Department said listed companies should be allowed to enter the U.S. Being able to control the flow of technology is “critical to protecting America’s national security interests.”
But a former U.S. official, who did not want to be identified, said “it is a provocative act to develop a list.” An aerospace industry source said it could provoke China to take revenge.
An industry source said the inclusion of cum of at least one major U.S. Will surprise the supplier, who decided that the company is not a military end user.
The list would also provide European competitors with a start in promoting their producers, he said. Even if licensed, they do not need to remove such barriers, an industry source said.
General Electric and Honeywell International both supply COMAC and have a joint venture with AVIC.
A GE spokesman said its global joint venture complies with all laws and the company has worked to obtain licenses relating to military end users.
A spokesman for Honeywell declined to comment.
In addition to the Chinese 89 Chinese listings, the draft rule also employs Russian ૨ 28 companies, including Irkut, which aims to enter Boeing’s market with the MC-21 Jetliner development.
117 કંપની The company’s list is “not complete,” stated in the draft rule and is considered an “initial level”.
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