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China squeezes Japan on dual-use exports amid Taiwan spat

January 7, 2026

Japan called new Chinese restrictions on dual-use exports for its military "absolutely unacceptable," while Beijing followed up with additional limits on dichlorosilane, a chemical used to make semiconductors.

Symbolic undated image of the the main motifs of the Japanese and Chinese flags, painted on a cracked wall.
Japanese complaints about military exercises near Taiwan have been followed by trade restrictions from ChinaImage: daniel0Z/Zoonar/picture alliance

Japan has criticized new Chinese restrictions on exporting so-called dual-use goods to the country, imposed after comments from its prime minister on Chinese military drills near Taiwan upset Beijing. 

"A measure such as this, targeting only our country, differs significantly from international practice, is absolutely unacceptable and deeply regrettable," Japan's top government spokesman, Chief Cabinet Secretary Minoru Kihara saidd. 

Dual use items are goods, software or technologies that can have both civilian and military applications, and can include certain key rare earths used to make items like drones and computer chips. 

Minoru Kihara called the Chinese step 'deeply regrettable,' with Japan yet to announce any measures in retaliationImage: Motoya Taguchi/Jiji Press/picture alliance

China meanwhile followed up on Tuesday's restriction by announcing an investigation into imported dichlorosilane, a chemical gas used in making seminconductors. It said this followed an application from its domestic industry, which had complained that prices for the chemical imported from Japan had fallen by 31% between 2022 and 2024. 

"The dumping of imported products from Japan has damaged the production and operation of our domestic industry," China's Commerce Ministry alleged on Wednesday. 

State-aligned media on Wednesday cited sources as saying that Beijing was also considering further restrictions on crucial rare earth minerals, but China's government has not made any official statements in this direction.

Japan's Foreign Ministry has also criticized the restrictions, along with the prime minister's spokesman Kihara, but Tokyo has not as yet announced any reciprocal measures against China.

Battle for rare earths: How much power does China hold?

26:04

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Taiwan comments from new government in Tokyo rile Beijing

China has been showing mounting displeasure with comments from Japan's government and individual politicians pertaining to Taiwan

On November 7, less than a month after taking office, Japanese Prime Minsiter Sanae Takaichi had suggested in comments to parliament that a Chinese attack on Taiwan would constitute an existential threat to Japan. She even implied that Japan's military could potentially mobilize in support of the US, if it were to take steps to try to protect the administration in Taipei. Japan is also increasing its defense spending and redefining its military's mandate, after decades of it being defined as a purely defensive force since defeat in World War II.

China, which considers the island rightfully part of its territory, has been pressing Takaichi to retract the comments. Japan's first female prime minister has not done so, but did say on Monday that her government was "open to various opportunities for dialogue with China and has never closed the door."

The tensions were further stoked on Tuesday when Japanese lawmaker Hei Seki, who was sanctioned by China last year for "spreading fallacies" about Taiwan and other disputed territories, visited Taipei and called Taiwan an independent country. He said he had made the visit to show that China and Taiwan were "different countries." 

"The nasty words of a petty villain like him are not worth commenting on," Chinese Foreign Ministry spokesman Mao Ning said on Wednesday when asked to comment on Seki's visit. 

Japan — like the US, Germany, and many countries in the West — walks the fine line of formally adhering to the "One China" principle, not recognizing Taiwan as a country, while simultaneously providing support to the island democracy and trying to dissuade Beijing from any efforts to change the status quo by force.

Tension contrasts with South Korea overtures and state visit

China's new restrictions on Japan also coincide with the first state visit by a South Korean president since the COVID pandemic. 

Lee Jae Myung has sought a softer stance towards China than his predecessor since taking office last JuneImage: Huang Jingwen/Xinhua/IMAGO

President Lee Jae Myung wrapped up a four-day trip on Wednesday. He and Chinese President Xi Jinping oversaw the signing of several cooperation agreements in areas like technology, trade, transportation and environemental protection. 

Lee and South Korea also did not join Japan's government in condemning Chinese military drills near Taiwan late in December

Chinese troops carry out live-firing exercises near Taiwan

02:23

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Edited by: Wesley Dockery  

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