US Imposes Varying Types of Financial Sanctions on Individuals in China Amid Escalating Tensions
Escalating US-China Tensions: A Timeline of Financial Sanctions
The United States has taken a stern stance against China in recent years, imposing various types of financial sanctions on individuals and entities across the country. The move comes amid escalating tensions between the two nations, with reports emerging that China is aiding Russia in its war with Ukraine despite US-imposed sanctions.
Trump Administration Imposes Early Sanctions (2018)
The Trump Administration imposed one of the earliest significant sanctions in 2018 when it banned US agencies from using Huawei’s systems, equipment, and services due to suspicion that the Chinese telecommunications giant was assisting the government in espionage activities. This move marked a turning point in the deteriorating relationship between the two countries.
Uyghur Human Rights Policy (2020)
In July 2020, the US sanctioned several Chinese officials under its Uyghur Human Rights Policy of 2020 for what it called “gross violations of human rights” in Xinjiang. The sanctions barred these individuals and their immediate families from entering the US.
Sanctions on Hong Kong Officials (2020)
Later that year, the US imposed sanctions on Hong Kong Chief Executive Carrie Lam and ten other officials for undermining Hong Kong’s autonomy and restricting citizens’ freedom of expression and assembly. In December 2020, the US slapped sanctions on 14 vice chairpersons of China’s National People’s Congress for similar reasons.
Restrictions on Chinese Tech Sector (2020)
The trend continued in November 2020 when former President Trump signed an executive order prohibiting all US institutional and retail investors from investing or purchasing from Chinese companies identified as “Communist Chinese military companies” by the Department of Defense. This move aimed to slow down the growth of the Chinese tech sector.
Sanctions Post-Russia’s Invasion of Ukraine (2022)
Following Russia’s invasion of Ukraine in 2022, the US imposed sanctions on several businesses in China, including Sinno Electronics in Shenzhen for supplying Russian military networks and Spacety China for providing satellite imagery to the Wagner Group mercenaries. In October 2022, the Biden Administration announced limits on sales of new semiconductors to China to slow down its tech sector.
Sanctions in Response to Human Rights Abuses (2022)
In December, sanctions were imposed on Chinese nationals and ten entities affiliated with them in response to human rights abuses connected to illegal, unreported, and unregulated (IUU) fishing. The US is now considering more sanctions against Chinese surveillance companies following reports that Iranian authorities have been relying on the technology to stomp out protests.
Escalating Tensions: A Global Response
Tensions between the US and China began to escalate when the Trump Administration took a hard economic stance against China in 2018, starting a trade war. During Biden’s administration, there has been no effort to settle tensions, with the US trying to slow down the growth of the Chinese tech sector. China has also been defiant of US-imposed sanctions on Russia as it continues to provide technology to the Russian military.
EU Imposes Sanctions on China
The EU has also imposed sanctions on China, announcing in 2021 that it would impose sanctions on 11 Chinese individuals and four entities responsible for human rights violations across the globe. This move marked the second time the EU had issued a sanction to China, its second-largest trading partner. The first sanction was raised in 1989 following the Tiananmen Square protests when an arms embargo against China was put in place, which is still in effect today.