Q: Recently, MOFCOM announced countermeasures against five U.S.-based associated companies of Hanwha Ocean Co., Ltd. What considerations underlie this decision?

A: On October 14, U.S. Eastern Time, the United States began implementing the final measures resulting from its Section 301 investigation targeting China’s maritime, logistics, and shipbuilding sectors. These measures constitute a serious violation of international law and the fundamental norms of international relations, and have gravely harmed the legitimate rights and interests of Chinese enterprises. The U.S.-based associated companies of Hanwha Ocean Co., Ltd. have assisted and supported the U.S. government in conducting the Section 301 investigation and implementing these measures against China’s maritime, logistics, and shipbuilding sectors. China expresses strong dissatisfaction and firm opposition to such actions. In order to safeguard China’s sovereignty, security, and development interests, and in accordance with the Anti-Foreign Sanctions Law of the People’s Republic of China and other relevant laws and regulations, and upon approval by the State Coordination Mechanism for Countering Foreign Sanctions, China has decided to place the five U.S.-based associated companies of Hanwha Ocean Co., Ltd. on the list of countermeasures. All organizations and individuals within China are hereby prohibited from engaging in any transactions or cooperation with these entities.

China urges the United States and relevant enterprises to respect facts and multilateral economic and trade rules, abide by the principles of the market economy and fair competition, promptly rectify their erroneous actions, and cease any conduct that undermines China’s interests.