China to strengthen technology export controls

China is moving to strengthen the management of technology exports in its strategic frontier sectors. The Ministry of Commerce (MOFCOM) and the Ministry of Science and Technology issued a notice soliciting public opinion on proposed adjustments to China’s catalog of technologies that are subject to export bans or restrictions. The draft revision, which covers 40 technologies in artificial intelligence (AI), biomedicine and photovoltaics, prohibits exports of 14 technologies in the three sectors and restricts another 26, while proposing automatic licensing and other facilitation measures in specified cases. Alongside the public consultation, which runs through November 15, the ministries have also introduced temporary pre-export registration requirements, effective immediately and lasting until the revised catalog takes effect.

With export controls in place to varying degrees across major economies, a Commerce Ministry Spokesperson said in a statement that the revision is “a routine part of technology trade management” and “does not target any specific country, region or entity”. Cui Fan, Professor of International Trade at the University of International Business and Economics in Beijing, said that as China makes rapid advances in science and technology, “it faces an increasingly complex international environment for technological competition and cooperation”. Artificial intelligence has become a key battleground in global technological competition.

According to the Commerce Ministry, the proposed adjustments include 23 key technologies spanning large models, AI agents, computing clusters and information processing. Zhao Qiuyan, Senior Engineer at the China Machinery Industry Information Institute, said it marks “a step forward in China’s AI governance, helping strike a better balance between innovation and security”. The Ministry Spokesperson said the proposed export controls would cover a narrowly defined range of AI technologies, adding that “the vast majority will remain freely exportable” once the revision takes effect. The security considerations extend to biomedicine, where Chinese drugmakers are gaining wider international recognition for their innovations. The catalog already covers some biomedical technologies, and the draft will add five technologies related to pathogenic micro-organisms, cell and gene therapies, as well as small nucleic acid drugs. The draft also proposes adding 12 technologies used in polysilicon, silicon wafer and solar cell manufacturing, covering key stages of photovoltaic production.

Ren Qing, Partner at Global Law Office in Beijing, noted that the proposed additions are limited to core, foundational and advanced technologies in the three sectors. Alongside targeted controls, the draft provides for automatic licensing and other streamlined procedures for eligible AI exports, including open-source releases and overseas joint R&D, and for outbound licensing of specified novel drug-target discovery and validation technologies, the China Daily reports.