Ministry of Commerce: List of 20 Japanese entities included in the watchlist

Ministry of Commerce Announcement: In accordance with the Law of the People’s Republic of China on Export Control and the Regulations on the Export Control of Dual-Use Items and Technologies, among other laws and regulations, it has been decided to place 20 Japanese entities, including Subaru Corporation, on the watchlist due to the inability to verify their end-users and end-uses of dual-use items. Exporters shall not apply for general licenses or obtain export certificates through registration and reporting when exporting dual-use items to these entities; when applying for individual licenses, they must submit a risk assessment report on the entities on the watchlist and provide a written commitment that the dual-use items will not be used for any purpose that enhances Japan’s military capabilities. The review period for license applications is not limited by the provisions of Article 17, Paragraph 1 of the Regulations on the Export Control of Dual-Use Items and Technologies. The Ministry of Commerce will implement stricter end-user and end-use reviews for exports of dual-use items to entities on the watchlist, and exports to Japanese military users, military purposes, or any other end-user uses that contribute to Japan’s military strength will not be approved. Entities on the watchlist, in accordance with Article 26 of the Regulations on the Export Control of Dual-Use Items and Technologies, that cooperate with verification obligations may apply to be removed from the watchlist. After verification, the Ministry of Commerce may remove them from the watchlist.