China has banned the export of dual-use goods—products, software, and technologies that can be utilized for both civilian and military purposes—to Japan. The decision follows statements by Japanese Prime Minister Sanae Takaichi, according to which a potential Chinese attack on Taiwan could be considered an existential threat to Japan. Beijing characterized the comments as "provocative" and presented the ban as a defensive measure.
What the ban covers
Dual-use goods include materials of vital importance for military technologies, such as certain rare earths used in drones and semiconductors. The Chinese Ministry of Commerce stated that exports to military users or for purposes that could enhance Japan's military capabilities are prohibited. It also emphasized that any organization or individual violating the ban will face legal consequences.
The regional context and Taiwan
The announcement falls within the framework of escalating tension around Taiwan, which China considers part of its territory, while Taipei maintains de facto independence. Japan recently approved a record defense budget, increasing military spending to 9 trillion yen ($57.7 billion) and expanding its defense capabilities. Beijing has strongly criticized Tokyo for its security policy shift, the development of offensive weapons systems, and the relaxation of restrictions on arms exports.
Historical precedent and rare earths
This is not the first time China has used rare earths as a lever of pressure. In previous diplomatic crises, Beijing had restricted their exports to Japan. Despite the new ban, the most recent Chinese customs data show that an immediate drop in exports has not yet been recorded, with November 2025 shipments increasing by 35% on an annual basis.
Impacts and geopolitical message
The ban marks a sharp escalation in China–Japan relations and underscores the strategic role of rare earths and dual-use technologies in regional security. Japan may find itself facing severe restrictions on access to materials critical for its defense industry, while the move reveals Beijing's willingness to use economic tools as weapons to influence the geopolitical behavior of its rivals.
www.bankingnews.gr
Σχόλια αναγνωστών