China raises concerns over EU supplier rules, defends Japan export controls

China on Thursday expressed strong concern over new European Union rules targeting so-called "high-risk suppliers," defended its export controls on dual-use items to Japan, and signaled progress in trade discussions with Canada.

At a regular press briefing, Ministry of Commerce spokesperson He Yongqian said the EU has issued documents requiring member states to exclude "high-risk suppliers" from 18 key sectors, including energy, transport and ICT services. She said Chinese companies have long operated in Europe in compliance with local laws and contributed to the development of the region's telecommunication and digital industries, adding that labelling some Chinese firms as high-risk without evidence is discriminatory and politicizes economic and trade issues.

Responding to questions on Japan, He said China applies export controls on dual-use items in line with international non-proliferation obligations and domestic law, while approving applications that clearly meet civilian-use requirements to safeguard global supply chain stability. Prohibiting exports to Japanese military users or for military purposes is fully legitimate, reasonable and lawful, reiterated the spokesperson.

On China–Canada trade, the spokesperson said Canada will grant China an annual quota of 49,000 electric vehicles at a 6.1 percent most-favored-nation tariff rate, replacing a 100 percent surcharge, with the quota set to expand gradually. She added that China will continue to address rapeseed trade issues with Canada through dialogue and consultation within a rules-based framework.