China unveils new US-focused trade curbs

On August 5, 2026, China announced a new set of countermeasures aimed at the United States, centering on technology exports and restrictions on selected American entities. The Ministry of Commerce said the steps were a response to recent U.S. measures targeting Chinese companies, particularly in drones and human-rights-related trade controls.

Beijing framed the package as a necessary reaction to actions by U.S. agencies, including restrictions on imports of Chinese drones and the addition of dozens of Chinese firms to a forced-labor-related entity list. Officials also warned that further countermeasures could follow if the United States introduces additional restrictive steps.

A central element of the announcement is the tightening of export controls on unmanned aerial vehicles destined for the United States. Exports of drones, their key components and related technologies will now be subject to stricter, case-by-case review under China’s export-control framework.

The new regime covers items already listed as export-controlled dual-use products, meaning they can have both civilian and military applications. The change increases regulatory scrutiny on shipments to U.S. customers and introduces greater uncertainty for cross-border drone supply chains.

China also expanded its countermeasures list by adding six U.S. entities and separately naming Compliance Testing LLC of Mesa, Arizona. Chinese organizations and individuals are barred from conducting transactions or cooperation with entities on this list.

The named entities include Applied DNA Sciences, Inc. and the non-governmental organization Human Rights in China. Compliance Testing LLC is prohibited from doing business in China for its work assisting the U.S. Federal Communications Commission. These designations restrict the firms’ ability to operate in the Chinese market or engage with Chinese partners.

Beyond drones and sanctions, Chinese regulators moved to limit the role of U.S. firms in product certification. The State Administration for Market Regulation said U.S. companies that conduct follow-up factory inspections for China Compulsory Certification can no longer provide these inspections.

As a result, China-certified electronics makers must use auditors based outside the United States or other designated non-U.S. bodies to maintain CCC status. In parallel, Chinese authorities launched a national security investigation into imported printing software and office equipment, citing potential impacts on national security and information security.

Chinese officials explicitly connected the August 5 measures to recent U.S. decisions affecting Chinese firms. They cited the U.S. Federal Communications Commission’s restrictions on imports of Chinese drones and the Department of Homeland Security’s move to add 43 Chinese companies to the Uyghur Forced Labor Prevention Act entity list.

By targeting drone exports, specific U.S. entities and certification activities, Beijing signaled its willingness to use export controls and market access limits in response to U.S. policy. The steps add new points of friction to U.S.-China economic and technology ties, especially in areas involving advanced hardware, compliance services and office equipment.