According to an announcement in the U.S. Federal Register, the United States will include six companies on the trade restriction list on Wednesday, July 3, with four of them listed for training the People’s Liberation Army of China.
Among these six companies, two are located in Hong Kong, one in South Africa, two in the United Arab Emirates, and one in the United Kingdom.
The announcement from the Department of Commerce identified the two Hong Kong companies as Global Training Solutions Limited and Smartech Future Limited.
Furthermore, Grace Air Pty Ltd from South Africa and Livingston Aerospace Limited from the UK were also added to the list.
These four companies were accused of using Western and NATO resources to train the People’s Liberation Army of China and have connections with the Test Flying Academy of South Africa.
The Department of Commerce stated, “This behavior violates U.S. national security and foreign policy interests.”
The Test Flying Academy of South Africa was previously added to the Entity List by the U.S. on June 12, 2023, for allegedly “using Western and NATO resources to provide training to Chinese (Communist Party) pilots.”
In addition, companies from the United Arab Emirates, Mega Fast Cargo and Mega Technique Trading, were added to the Entity List for evasion practices. Mega Fast Cargo shipped goods originally from the U.S. to Russia.
According to regulations from the U.S. Department of Commerce, companies listed on the trade restriction list (Entity List) require a license to ship U.S. goods and technology to them, but these licenses are likely to be denied.