China Adds Japanese Shipbuilders and Defense-Linked Entities to Export Control List

On 24 February 2026, China's Ministry of Commerce (MOFCOM) announced new export controls targeting 20 Japanese entities, including leading shipbuilders and defense-linked organizations. Under Announcement No. 11/2026, these entities were placed on the Export Control List, with an immediate ban on the export of dual-use items from China. Overseas parties are similarly restricted from transferring China-origin dual-use goods to these organizations. MOFCOM cited national security and non-proliferation obligations as reasons for the measures. An additional 20 Japanese entities were placed on a Watch List, requiring stricter export reviews and risk assessments. Notable companies affected include subsidiaries of Mitsubishi Heavy Industries, Kawasaki Heavy Industries, IHI Corporation, and Japan Marine United. The move is expected to significantly impact Japan’s shipbuilding sector, potentially disrupting supply chains for advanced marine systems. MOFCOM emphasized that the controls are targeted and do not affect normal commercial trade between China and Japan.