China has banned exports of all dual-use items to Japan for military purposes, intensifying diplomatic and economic tensions following remarks by Japanese leaders on Taiwan. The move was announced by China’s Ministry of Commerce, which said the restrictions apply immediately.

Dual-use items include goods, software, and technologies that can be used for both civilian and military purposes. Beijing said the ban covers all Japanese military users and any end use that could enhance Japan’s military capabilities, warning that violations would carry legal liability.

Taiwan as the Trigger

China said the decision was prompted by what it described as “erroneous” remarks by Japanese leaders on Taiwan, which it said hinted at possible military intervention in the Taiwan Strait and amounted to interference in China’s internal affairs.

Japanese Prime Minister Sanae Takaichi had previously suggested Japan could mobilize a military response if China attempted to seize Taiwan. Beijing regards Taiwan as part of its territory, a claim rejected by Taipei.

Strategic Materials in Scope

According to Chinese authorities, the restrictions cover a wide range of sensitive materials, including aerospace engine components, graphite products, tungsten-nickel-iron alloys, and other items essential to advanced manufacturing.

Reuters noted that some dual-use exports include rare earth elements critical for producing drones and semiconductor chips. China has previously used export curbs on such materials during diplomatic disputes, including a rare earth slowdown targeting Japan more than a decade ago.

Wider Regional Implications

The export ban comes amid a broader deterioration in China–Japan relations. In late December, Japan approved a record defense budget, raising military spending by 3.8% to 9 trillion yen ($57.7 billion), moves Beijing has criticized as destabilizing.

While Chinese customs data have not yet shown a decline in rare earth shipments to Japan, the new controls underscore Beijing’s willingness to weaponize trade tools in response to security disputes tied to Taiwan.