Industrial Policy & Trade Monitor· 2663 actions· ✨ 89 recent

China's Ministry of Commerce issued Announcement No. 23 of 2026 on June 22, 2026, adding 10 US entities to the Export Control Management List under the Export Control Law and Dual-Use Items Export Control Regulations. The listing prohibits Chinese exporters from supplying dual-use items to these entities and bars any global party from transferring China-origin dual-use goods to them; ongoing transactions are suspended pending MOFCOM approval. The 10 entities include the two largest non-Chinese rare earth producers — MP Materials Corp. (Mountain Pass, CA) and USA Rare Earth Inc. (Round Top, TX) — as well as eight US defence firms (Aveox, Red Cat Holdings, Teal Drones, IMSAR, Jaia Robotics, Ball Aerospace, Oshkosh Defense, L3Harris Maritime). MOFCOM explicitly framed the action as retaliation for the US DoD's June 8, 2026 update to the Section 1260H Chinese Military Companies list, which added ~80 Chinese parent firms and 188 affiliates.

On June 8, 2026, the US Department of Defense published its annual update to the Section 1260H Chinese Military Companies (CMIC) list, adding 65 entities (17 new parent companies and 48 subsidiaries), bringing the total to approximately 188–200 designated entities. Major additions span EV and battery manufacturing (BYD, NIO, CATL), consumer internet (Alibaba, Baidu, Tencent), semiconductors (SMIC, YMTC, CXMT), solar (JA Solar, Trina Solar), biotech (BGI Genomics, WuXi AppTec), drones/robotics (DJI, Unitree, RoboSense), and telecoms (TP-Link). Effective June 30, 2026, DoD is prohibited from procuring goods, services, or technology directly from listed entities; effective June 30, 2027, the ban extends to indirect supply-chain procurement through prime contractors and all sub-tiers.

On 23 April 2026, the Council of the European Union adopted the 20th package of restrictive measures against Russia, anchored by Council Regulation (EU) 2026/506 amending Regulation 833/2014 (sectoral sanctions) and Council Regulation (EU) 2026/511 amending Regulation 269/2014 (asset-freeze listings — 120 additional individuals and entities, the largest single tranche in two years). The package operationalises and extends the crypto-sanctions architecture introduced in the 19th package and constructs the legal scaffolding for a future full prohibition on maritime services to vessels carrying Russian crude/petroleum products. Headline measures: (i) full sectoral prohibition on transactions with crypto-asset service providers and exchange platforms established in Russia or Belarus, plus designation of the rouble-backed stablecoin RUBx and the digital rouble (CBDC) on Annex LIII — effective 24 May 2026, with EU support for the digital rouble's development banned outright; (ii) 36 new energy-sector listings spanning upstream extraction, refining and transportation; (iii) prohibition on providing technical, financial, brokering and insurance services to Russia-flagged, Russian-certified or Russian-managed LNG tankers and icebreakers effective 25 April 2026, extending to foreign-flagged vessels operating in Russian interests by January 2027 and culminating in a categorical ban on LNG terminal services to Russian-controlled entities on 1 January 2027; (iv) full transaction ban on 20 Russian banks plus four third-country banks listed for SPFS connectivity / sanctions circumvention; (v) 46 newly listed shadow-fleet vessels and new tanker sale-due-diligence obligations on EU shipping operators; (vi) 58 designations of companies and associated individuals in the Russian military-industrial complex including drone developers/manufacturers; (vii) further Annex IV third-country circumvention enabler listings (China, Hong Kong, Turkey, UAE); (viii) parallel measures against Belarus. Entry into force on 24 April 2026 (day following publication in OJ L_202600506), except for measures with explicit deferred application dates.

On 22 December 2025 the FCC's Public Safety and Homeland Security Bureau released Public Notice DA-25-1086, adding to the Covered List (under section 1709 of the FY2025 NDAA) all unmanned aircraft systems (UAS) and UAS critical components produced in a foreign country, plus communications and video-surveillance equipment/services produced by DJI Technologies and Autel Robotics (and their subsidiaries, affiliates, and licensing/JV partners). The designation is comprehensive by scope — every foreign-made drone from consumer quadcopters to large uncrewed systems, with no size/performance carve-out — and blocks the FCC from granting any new equipment authorization to covered UAS/components going forward. Previously authorized models already in the US market are not revoked. A follow-on Public Notice (DA-26-22, 7 January 2026) narrowed the scope with a temporary exemption (see amendments).

On 8 September 2025, the UK Ministry of Defence published the Defence Industrial Strategy 2025 — "Making Defence an Engine for Growth" (CP 1388) — the first comprehensive cabinet-level UK defence industrial strategy in over a decade and the sector plan for Defence under the UK Modern Industrial Strategy umbrella (IS-8). The strategy was published alongside the Strategic Defence Review 2025 and operationalises the largest sustained defence- spending increase since the Cold War (rising to 2.6% of GDP by 2027 with ambition to 3% in the next Parliament). It defines six priority outcomes (growth, backing UK businesses, defence innovation, resilient industrial base, procurement transformation, enduring partnerships); establishes UK Defence Innovation (UKDI) within the MOD with a ringfenced £400m budget to accelerate dual-use technology; identifies priority defence capabilities (combat air, complex weapons, directed-energy weapons, next- generation land and maritime systems) plus dual-use sub-sectors (quantum, drones/autonomy, space, AI, cyber, engineering biology, advanced connectivity); and flags resilience priorities in steel, construction, energetic materials, batteries, semiconductors and rare earths.

Poland's Sejm adopted on 25 July 2025 — and the President signed on 5 August 2025 (Dz.U. 2025 poz. 1080, in force 7 September 2025) — a Special Act on Strategic Investments in the Field of National Defence and Public Security that creates an accelerated authorisation track for defence and public- security infrastructure projects: a single combined administrative decision issued within 90 days of application, simplified notification regime inside closed military zones, replacement of full environmental and water-law assessments with targeted mitigation, and an exemption from the Public Procurement Law for Ministry-of-National-Defence-cleared unmanned aerial vehicles, unmanned weapon platforms and counter-drone systems. The statute is the procedural backbone for Poland's PLN 187bn 2025 defence budget (≈4.7% of GDP, the highest share in NATO) and dovetails with Poland's €43.7bn EU SAFE defence-loan allocation signed in May 2026.

In its first major export-regulatory action of the second Trump administration, BIS amended the EAR to add 70 entities to the Entity List under the destinations of China (42), Iran (2), Pakistan (19), South Africa (3), and the United Arab Emirates (4), and modified four existing entries (France, Iran, Senegal, UK). New listings carry a license requirement for all items subject to the EAR with a presumption-of-denial review policy and no license exceptions available. Stated objectives include restricting China's acquisition of high-performance computing and quantum technologies for military use, impeding hypersonic-weapons development, disrupting Iran's UAV and defense procurement, and impairing Pakistan's unsafeguarded nuclear and ballistic-missile programs. The rule also targets the Test Flying Academy of South Africa for using U.S.-origin items to train Chinese military pilots.

The U.S. Bureau of Industry and Security (BIS) published a final rule expanding the scope of the Iran Foreign Direct Product (FDP) rule in the Export Administration Regulations (EAR) to implement the "No Technology for Terror Act" (Public Law 118-50, Division N), signed by President Biden on April 24, 2024. The expanded rule extends EAR jurisdiction to additional foreign-produced items destined for Iran — including a broader set of items derived from U.S.-origin technology or software, or produced by plants/components that are themselves direct products of U.S.-origin technology — and requires a BIS license for their export, reexport, or in-country transfer to Iran. The rule also provides specified exclusions from the otherwise-applicable license requirements. The rule became effective on July 23, 2024 (publication July 26, 2024).

The Bureau of Industry and Security (BIS) issued a final rule (FR Doc 2024-08622; Docket 240417-0112; 89 FR 30119) amending the Export Administration Regulations (EAR) to expand the product scope of two Foreign Direct Product (FDP) rules — the Iran FDP rule and the Russia/Belarus/Temporarily occupied Crimea region of Ukraine FDP rule in 15 CFR 734.9(f) — to cover the entirety of the Common High Priority List (CHPL), an HTS-6 list developed jointly with the EU, Japan and the UK that identifies items used in Russian weapons production. The CHPL scope adds basic commercial-grade microelectronics (integrated circuits, RF transceiver modules), test/manufacturing equipment for electronic components, and CNC machine tools to the perimeter, requiring a BIS licence when these foreign-produced items are exported, reexported or transferred to Iran, Russia, Belarus or occupied Crimea. The rule was issued in response to Iran's 13 April 2024 attack on Israel and Iran's ongoing military support for the Russian war in Ukraine; it became effective 18 April 2024 (Federal Register publication 22 April 2024) with a transit grace period for in-flight shipments until 20 May 2024.

On 16 December 2022 the Council of the European Union adopted Council Regulation (EU) 2022/2474, the 9th package of restrictive measures against Russia, amending Regulation (EU) 833/2014. It entered into force on publication the following day (17 December 2022). The package extends the prohibition on new EU investment from the Russian energy sector to the Russian mining and quarrying sector, bans exports of aircraft and drone engines and their parts to Russia (and to any third country that could re-supply drones to Russia), adds 168 entities to the sectoral export- control annex covering chemicals, nerve agents, night-vision and radio- navigation equipment, electronics and IT components, and prohibits EU advertising, market-research, product-testing and technical-inspection services to Russia. A parallel Council Decision/Implementing Regulation designated a further 141 individuals and 49 entities to the EU asset-freeze and travel-ban list.