US Blocked TikTok, WeChat and Huawei, China Responds!

The Chinese government on Saturday (19/9/2020) said it had launched a mechanism, allowing it to prohibit foreign entities from entering.

The policy is seen as retaliation for the move by the United States (US) to impose sanctions on Huawei and then block TikTok and WeChat.

The announcement from the Chinese Ministry of Commerce did not name specific foreign entities, but laid out the factors that could trigger punishments, including fines, restrictions on export-import business or investment in China, and entry of personnel or equipment into the country.

It includes "foreign companies, other organizations and individuals," the Chinese Ministry of Trade said.

The launch of this "list of untrustworthy entities" has escalated tensions in a commercial battle with President Donald Trump's administration.

Meanwhile the Trump Cabinet used its own "entity list" to bar Huawei from circulating on the US market, citing national security reasons.

The announcement also came a day after the US ordered a ban on downloading the TikTok app and effectively blocked the WeChat app for the same reason.

China then threatened to strike back.

Beijing will consider sanctions against entities whose activities "jeopardize China's national sovereignty, security and development" or violate "internationally accepted economic and trade rules."

The ministry said that if the entity is suspected of violating the terms then an investigation will be launched under China's cabinet, namely the State Council.

However, foreign parties are welcome to cast their defense against Chinese investigators.

Then Chinese companies that depend on the business of the targeted companies are also allowed to apply for exemptions just as the US allows it.

The US and China are engaged in a technology-centric trade war, with Huawei being a particular target.

Washington has used its own list of entities to block Huawei from the US market, and prevent US companies from doing business of any kind with Huawei or its affiliated organizations.

Then on Friday (18/9/2020) Tencent's WeChat was blocked in the US starting Sunday (9/20/2020), and TikTok users could not install the update even though they could still access the application until November 12.

Meanwhile China has for years blocked large US companies from operating in its markets, including Facebook, Twitter and Google.