China Issues New Rules for Anti-Foreign Sanctions Law
China this week published new rules, effective March 23, for the implementation of its anti-foreign sanctions law, clarifying what types of property Beijing can freeze in response to people and companies that violate the law, who China can target with the restrictions, and more.
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For violators of the anti-foreign sanctions law -- which gives Beijing broad discretion to penalize companies for obeying U.S. and other countries' restrictions against China (see 2309270039) -- the country can seize, detain or freeze their “cash, bills, bank deposits, securities, fund shares, equity, intellectual property rights, accounts receivable and other property and property rights,” China’s State Council said, according to an unofficial translation of the notice. China can also block companies from participating in certain transactions there, including those around “activities in the fields of education, science and technology, legal services, environmental protection, economy and trade, culture, tourism, health and sports.”
The notice also said China can impose countermeasures against any organization or person that “implements or assists in the implementation of discriminatory restrictive measures” against Chinese people or organizations. Chinese citizens can file lawsuits against those organizations and people, Beijing said, adding that law firms, notary agencies and other professional service providers “are encouraged and supported to provide legal services for countering foreign sanctions.”