China blacklists 14 European firms in retaliation for EU's Russia sanctions

Beijing: China announced on Friday it was adding 14 European entities to an export control list in retaliation for the European Union penalising 14 Chinese enterprises as part of its latest round of sanctions against Russia.

Chinese companies will not be allowed to export dual-use items, which can be used for both civilian and military purposes, to the 14 European organisations, China's Commerce Ministry said in a statement. Additionally, foreign companies are barred from providing to the 14 entities dual-use items made in China.

The European companies affected include Czech vehicle manufacturer Tatra Trucks, Italian electric motor maker Lafert SpA, German manufacturer Sindlhauser Materials GmbH and French drone manufacturer Cavok UAS.


Also read: China warns EU on new sanctions over Ukraine war

A Chinese Commerce Ministry spokesperson said the measures were taken in retaliation for the E.U. on Thursday adding 14 mainland Chinese and Hong Kong enterprises to its latest list of sanctions against Russia over its war in Ukraine.

The measures are intended "to safeguard national security and interests, and to fulfill international obligations such as non-proliferation, in response to the EU's egregious actions," the spokesperson said.

Offshore trusts to be taxed

China will impose individual income tax of 20% from Friday on assets placed in offshore trusts and the income they generate, the finance ministry and tax authority said, closing a loophole long used by wealthy citizens to shield fortunes abroad.