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Dozens of Chinese companies hit with US trade restrictions over suspected spy balloon incident

·1 min

The Biden administration has included 37 Chinese entities in a trade restriction list, escalating tensions between the US and China. The list includes entities allegedly connected to a spy balloon that flew over the US last year as well as units of China Electronics Technology Group. The latter is accused of attempting to acquire American technology to enhance China’s quantum technology capabilities, which has raised concerns about national security. This move comes in response to the spy balloon incident that caused political outrage in the US and prompted the cancellation of a planned trip to China by Secretary of State Antony Blinken. The entity list limits US suppliers’ ability to ship to the targeted entities. Additionally, the Biden administration has added a few Chinese entities to the list for their attempts to obtain American items for drone production and shipping controlled items to Russia.