China to Counter 'Unjustified' Foreign Trade and Business Laws

China's Ministry of Commerce on Saturday published new rules for countering "unjustified" laws and restrictions imposed by foreign countries on Chinese companies and citizens, as economic relations between Beijing and Washington deteriorate.

The rules on "unjustified extra-territorial application of foreign legislation" were posted on department's website and established a "working mechanism" to assess the legal implications of such incidents.

According to the notice, a Chinese person or organisation that is restricted by foreign legislation from "engaging in normal economic, trade and related activity with a third State or its citizens," may report it to the commerce department within 30 days.

The commerce department will then assess a case for its potential violation of international law, impact on China's sovereignty and national security, and impact on Chinese citizens.

When a citizen or other organisation "suffers significant losses" from non-compliance with foreign legislation, "relevant government departments may provide necessary support", the notice says.

The Chinese government might also enact "necessary counter-measures" in response.

The new rules come amid an ongoing backlash against various Chinese companies from foreign governments, especially the United States.

Last year Washington, citing national security concerns, imposed restrictions on Huawei Technologies Co Ltd, a telecom and consumer hardware giant, that deprive it of critical components and threaten to cripple its smartphone business.

Social media giants ByteDance has also been caught in Washington's crosshairs when last autumn the Trump Administration attempted to force it to sell the U.S. division of its popular app TikTok.(Reuters)