China Reform Monitor No. 1533

Related Categories: Democracy and Governance; Economic Sanctions; Human Rights and Humanitarian Issues; International Economics and Trade; Central Asia; China

U.S. ADDS 36 CHINESE COMPANIES TO TRADE BLACKLIST 
The Department of Commerce has placed 36 Chinese companies on a trade blacklist in its latest effort to slow Beijing's acquisition of advanced chips for military uses. Being added to the "entity list" means that U.S. companies will require hard-to-obtain licenses in order to export chips to those firms. Commerce will also apply the "foreign direct product rule" to 21 entities, which prohibits foreign firms from exporting products that contain a certain amount of U.S. inputs. "We are building on the actions we took in October to protect U.S. national security by severely restricting China's ability to leverage artificial intelligence, advanced computing and other powerful, commercially available technologies for military modernization and human rights abuses," said a Commerce official. (Financial Times, December 15, 2022) 

CHINA RECALLS SIX OFFICIALS FROM UK FOR BEATING PROTESTER 
China has recalled six officials from Britain after police asked to question them about a protester who was beaten after being dragged inside the gates of the PRC consulate in Manchester. The removal of the officials, including the consul general, came after a police request to interview them over the incident. "I am disappointed that these individuals will not be interviewed or face justice. Nonetheless, it is right that those responsible for the disgraceful scenes in Manchester are no longer consular staff accredited to the UK," said British foreign minister James Cleverly. Police had requested the officials voluntarily waive their diplomatic immunity so they could be questioned. "The UK government sided with those violent rioters. This is totally unacceptable to the Chinese side," a Chinese embassy spokesperson said in response. (Nikkei Asia, December 14, 2022) 

U.S. CHARGES CHINESE STUDENT FOR HARASSING PEER 
A Chinese student at the Berklee College of Music in Boston has been charged with stalking and threatening another Chinese student who put up fliers calling for greater political freedom in China. Wu Xiaolei, 25, found the student in a WeChat group, demanded that she remove the fliers, and threatened her and her family in China. One of Wu's message read: "Post more, I will chop your bastard hands off." In another, he shared her email address and encouraged others to send abuse. He also reported her to a "tip-off line" in China, and said China's public security agency would "greet" her family. The Justice Department called Wu's actions "an attempt to silence and intimidate the activist's expressed views dissenting of the PRC." If found guilty, he faces five years in prison, three years of supervised release, and a $250,000 fine. "Freedom of speech is a constitutional right here in the U.S. and we will protect and defend it at all costs," said U.S. Attorney Rachael Rollins. (BBC, December 15, 2022)

GOVERNMENT APPEALS DISMISSAL OF LAWSUIT AGAINST CASINO TYCOON 
The Justice Department has appealed the dismissal of a lawsuit against casino magnate Steve Wynn, who officials accuse of acting as a PRC agent. In May, the Justice Department sued to force the former CEO of Wynn Casinos to register under the Foreign Agents Registration Act (FARA); claiming that in 2017 he lobbied then-President Donald Trump on China's behalf - an accusation Wynn denies. In October, a federal judge found in Wynn's favor, but the Justice Department is appealing that decision. (Reuters, December 19, 2022)

MONGOLIANS PROTEST THEFT OF COAL SOLD TO CHINA
Hundreds of protesters in Ulaanbaatar, Mongolia tried to force their way into the State Palace, demanding the dismissal of officials involved in disappearance of 385,000 tons of coal from Tavan Tolgoi, on Mongolia's border with China. The demonstrators, who were mostly college students, gathered in the bitter cold in Sukhbaatar Square chanting and holding placards that read "If you don't love your country, why be a citizen?" and "We want to live with dignity in our country," before marching to the president's residence. China buys most of Mongolia's exports of coal, cashmere, livestock and other resources, but the sales have provoked tension with Mongolians, nearly 1/3rd of whom live in poverty. (Associated Press, December 6, 2022)