US President Donald Trump began to show a tough stance against China ahead of his departure. The United States on Friday blacklisted dozens of Chinese companies, including China’s largest chipmaker Semiconductor Manufacturing International Corporation (SMIC) and drone maker SZ DJI Technology. These companies will not be able to do business in the United States, nor use their property and bank balances.
America said these companies threatened national security
The United States has banned these Chinese companies as a threat to national security. President Donald Trump recently made several major decisions against China. Due to which the possibility of increasing economic and military tensions in America and China has increased. The two countries are already at odds over cases like the South China Sea, Hong Kong, Taiwan and espionage.
These companies work with the Chinese military
The US Department of Commerce said action has been taken against the minimum wage for the use of civilian technology for military purposes. The company works with Chinese military industrial enterprises for the Chinese military. The US Department of Commerce has also said that China has used our advanced technology to modernize its military and we cannot see that happening.
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Restrictions on doing business in America
The United States said in its statement that these companies were included in the list of export control entities. They will no longer be able to do business with America. We will take action against any Chinese company with ties to the Chinese military. Apart from that, the United States is now preparing to ban Chinese shipbuilding companies as well.
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America can make bigger decisions against China
The United States claimed that DJI, the world’s largest drone company, AGCU SciTech, China National Scientific Instruments and Materials, and the Kung-Chi Group are working closely with the Chinese military. Which is responsible for the widespread violations of human rights. At the same time, US Secretary of State Mike Pompeo said the United States will take all necessary measures to prevent the exploitation of goods and technology.