China Adds Additional Entities To The Unreliable Entity List

On May 20, 2024, the PRC Ministry of Commerce (MOFCOM) announced the inclusion of three U.S. companies on its unreliable entities list over sales of arms to Taiwan. We discussed the implementation of the Unreliable Entity List here. The move mimics similar designations in February 2023, which we wrote about here, and follows recent actions by the BIS and Treasury to apply new export controls and sanctions on Chinese entities for allegedly doing business with Russia.

Pursuant to the action, MOFCOM added General Atomics Aeronautical Systems, General Dynamics Land Systems, and Boeing Defense, Space & Security to the Unreliable Entity List. Pursuant to the designation, the following measures were also included: