China sanctioned at least six US entities and imposed strict export controls on drones destined for the United States on August 5. These measures come weeks before Xi Jinping’s scheduled visit to Washington on September 24 for talks with President Donald Trump. China’s Ministry of Commerce targeted entities including Applied DNA Sciences and Compliance Testing LLC, while drone exporters now require case-by-case government authorization. The tech rivalry between both nations has been intensifying since 2018, when Washington began deploying export controls specifically designed to slow China’s progress in semiconductors and artificial intelligence. Any further tightening of US restrictions could trigger Chinese retaliation, particularly affecting rare earth minerals critical to semiconductor production and Bitcoin mining hardware supply chains.
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