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China's economic recovery
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China prioritises export controls, supply-chain security to shield economy in 2026

Commerce ministry also pledges to boost domestic demand, services and two-way investment over coming year

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Beijing has deployed export controls amid the US-China trade war as well as trade and diplomatic disputes with other countries. Photo: AP
Xinyi Wuin Beijing
China has made strengthening export control rules and safeguarding supply-chain resilience top priorities this year, as officials move to secure the nation’s economic interests amid rising geopolitical friction.
The Ministry of Commerce said it would enhance legal frameworks and risk prevention and tighten the “safety net for opening up” as one of eight core work areas, according to a statement released on Sunday after its annual work conference in Beijing.
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China has increasingly used export controls to protect national security and critical technologies amid trade, supply-chain and diplomatic disputes.

On Thursday, the ministry announced a review of Meta Platforms’ US$2.5 billion acquisition of Manus, which developed its products in China, to determine whether the deal complies with export control and technology transfer rules.

The Chinese-founded artificial intelligence (AI) agent start-up relocated to Singapore – and reportedly laid off most of its Beijing staff – last year, in a move widely seen as a bid to access more overseas funding and clients.

As China’s race with the US for AI supremacy accelerates, analysts have said the review signalled a tightening of oversight on foreign stakes in sensitive technologies, even as founders move operations abroad to sidestep geopolitical scrutiny.
Beijing also recently announced a ban on dual-use exports – goods with both commercial and military applications, such as drones and rare earth elements – to military end users in Japan amid a protracted diplomatic row with Tokyo.
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Introduced on January 6, the restrictions are expected to be a focal point in Washington on Monday, when Japanese officials meet with finance ministers from other Group of Seven (G7) nations to outline Tokyo’s stance on the curbs.

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