U.S. Tightens Trade Restrictions: 15 Chinese Firms Added to Blacklist

The U.S. has placed 15 Chinese companies on its restricted trade list for aiding the acquisition of American electronic components used in drones by Iranian proxies, impacting groups like the Houthis and Hamas. This decision also includes firms from Turkey and UAE, affecting global supply chains.

The United States has announced the addition of 15 Chinese companies to its trade blacklist, citing their role in facilitating the purchase of American electronic components used in drones operated by Iranian proxies. These drones have been linked to militant actions by groups such as the Houthis and Hamas.

Among the listed companies, 10 are in China and have been accused of supplying components found in weaponized unmanned aircraft systems used by Yemeni Houthi militants. This move follows recent events in which weaponized UAVs, containing U.S.-origin electronic parts, were recovered by Israeli Defense Forces during conflicts involving Hamas.

The inclusion of Chinese firms, alongside others from Turkey and the UAE, such as subsidiaries of Arrow Electronics, highlights concerns over international compliance with export regulations. While companies like Arrow Electronics assert adherence to laws, the listings could lead to significant implications for global trade and supply chain stability.

(With inputs from agencies.)