China adds drones, laser tech to restricted export list amid soaring tensions with US

China has responded to the US ban on Chinese firms by adding several high-tech machines such as drones and lasers among nearly two dozen technologies to its restricted export list. The Chinese Ministry of Commerce on August 28 had announced the update of adding at least 23 areas of innovation including space engineering, 3D printing, encryption and large-scale high-speed wind tunnel design to the list. 

According to ANI, the Chinese government saying that the ‘main purpose’ of increasing the restrictions is to regulate technology exports while promoting scientific and technological progress, economic and technological cooperation, and maintaining national economic security. The chief economist for Greater China from ING Wholesale Banking, Iris Pang was also quoted by Chinese state media saying that the list was the response for ‘the US ban on Chinese tech companies’. 

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China’s move came amid the soaring tensions with the US and both nations have even indulged in a public war of words. Keeping in mind the timing of the restrictions, Pang has reportedly also said that these limitations in Chinese export will reflect that the Asian power is the owner of some hi-tech patents that ‘could disrupt other economies’ manufacturing’.

However, the Chinese Ministry has said that with the rapid development of science as well as technology and the constant improvement of country’s technological strength and competition in the industry, it is ‘imperative’ to accordingly change ‘in line with the international practices’ with time. Apart from adding 23 areas of the invention in the restricted export list, China has also revised the details for at least 21 technologies that are already restricted or banned such as chemical raw material production, crop breeding and biological pesticide production. 

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China-US diplomats share 'constructive dialogue'

Despite the ongoing tiff, top diplomats from both sides recently held “constructive dialogue” over the phone on August 25. The relations between the US and China have deteriorated over a range of issues from response to COVID-19 pandemic to national security, the US Trade Representative Robert Lighthizer, US Treasury Secretary Steven Mnuchin spoke with Chinese Vice Premier Liu He. As per the statement released after the talk, the superpowers have agreed to “push forward” their phase one economic deal. 

Marking the first step towards a truce and end the months-long trade war, US and China had signed the ‘Phase One’ deal back in January. It included Beijing to import an additional $200 billion in America’s cars, machinery, oil and farm products over the span of at least two years. However, all efforts seemed to have nullified after the COVID-19 pandemic tightened its grip across the world. The purchase of American goods has been lagging while Chinese and American officials publicly indulged in a war of words. 

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(With ANI inputs)