Q: MOFCOM recently announced countermeasures against two EU banks. What is the rationale behind this decision?

A: Recently, in disregard of China’s firm position, the EU insisted on adding two Chinese financial institutions in its sanctions list on grounds related to Russia. The sanctions, which took effect on August 9, severely violate international law and the basic norms governing international relations, undermine the legitimate rights and interests of Chinese enterprises, and seriously hamper China-EU economic, trade, and financial cooperation. The Chinese side firmly opposes this. To resolutely safeguard our sovereignty, security, and development interests, and in accordance with the Anti-Foreign Sanctions Law of the People’s Republic of China and other applicable laws and regulations, the Chinese side has decided, and with the approval by the national coordination mechanism for anti-foreign sanctions, to include two EU banks-UAB Urbo Bankas and AB Mano Bankas-on its countermeasures list. Organizations and individuals within China are prohibited from engaging in transactions, cooperation, or other activities with the two banks.

China urges the EU to uphold the long-standing cooperation between China, the bloc and its member states in the economic, trade and financial spheres, correct its wrongful actions, and refrain from endorsing measures that harm China’s interests or undermine China-EU cooperation.