The Ministry of Commerce in Beijing on Tuesday added 20 Japanese entities to its export control list to safeguard national security and interests and fulfil international obligations such as non-proliferation.

The measures cover exports of "dual-use" items – which can have civilian and military uses – to 20 Japanese entities, including five subsidiaries of Mitsubishi Heavy Industries as well as Japan's space agency.

The commerce ministry added a further 20 Japanese organisations, including automaker Subaru, to a watch list requiring stricter reviews of exported items that could be used for military purposes.

The ministry said export operators are prohibited from exporting dual-use items to the entities, which are involved in enhancing Japan's military capabilities.

It added that overseas organisations and individuals are prohibited from transferring or providing dual-use items originating in China to the entities.

"The above measures are aimed at curbing Japan's 'remilitarisation' and nuclear ambitions and are completely legitimate, reasonable and lawful," a commerce ministry statement said.

"Honest and law-abiding Japanese entities have nothing to worry about," it added.

The ministry said it would implement stricter reviews of end-users and end-uses for exports of dual-use items to entities on the watch list, and would not approve any exports involving Japanese military end-users, military end-uses, or any other end-users and end-use that contribute to enhancing Japan's military capabilities.

Shares in Kawasaki Heavy Industries sank almost five percent in Tokyo, while Mitsubishi Heavy Industries shed close to four percent and IHI tumbled nearly seven percent.

Several of the firms listed are active in the defence industry, manufacturing kit including ships, fighter jets and missiles for the Japanese military.

Japan has been shedding its strict pacifist stance, moving to obtain "counterstrike" capabilities and to ease rules on exporting lethal defence equipment.

The Japanese government in December approved a record defence budget worth nine trillion yen (US$58 billion) for the coming fiscal year to expand its military capabilities. (Xinhua/AFP)


Edited by Edmond Fong