China hits back at U.S. tariffs with drone export curbs, sanctions on six firms

China announced on Wednesday (August 5, 2026) new restrictions on drone exports to the United States and blacklisted six U.S. companies, responding to trade sanctions imposed by Washington over allegations of forced labour and national security concerns.

The move follows the United States' recent decision to impose fresh tariffs on China and 59 other countries, adding to a series of trade measures that have heightened tensions between the world's two largest economies.

In a statement, a spokesperson for China's Commerce Ministry said the U.S. actions "seriously harm China's legitimate rights and interests." The spokesperson added, "China can only take necessary countermeasures in response, including strengthening export controls on drones, and their key components and technology to the U.S."

Beyond export controls, Beijing is also suspending factory follow-up inspections by Chinese certification bodies, blacklisting U.S. compliance testing companies, and launching national security investigations into imports of office printers and copiers, according to the ministry.

Additionally, China imposed sanctions on six U.S. businesses, including biotechnology company Applied DNA Sciences and geoscience research firm Stratum Reservoir. The measures bar organisations and individuals within China from "engaging in relevant transactions, cooperation, or other activities with them."

The Commerce Ministry said the six entities "have assisted and supported illegal US sanctions related to Xinjiang; the nature of their actions is egregious."

The United States and other Western nations have accused China of committing human rights abuses against the mostly Muslim Uyghur minority in the Xinjiang region, with the United Nations warning of possible crimes against humanity. China has vehemently denied these allegations.

In a phone call, China's top trade official He Lifeng expressed "serious concern" to U.S. Trade Representative Jamieson Greer over the recent restrictions, according to state news agency Xinhua.

Last week, China also accused the United States of seeking to "suppress" Chinese companies after Washington banned imports of humanoid and quadruped robots manufactured abroad in a separate move.

The latest U.S. tariffs threaten a truce reached in October last year, when U.S. President Donald Trump and Chinese President Xi Jinping met to ease an escalating trade war. Beijing has warned Washington against waging a trade war, but tensions have continued to rise.