Beijing's retaliatory measures target seven American firms and impose stricter licensing on dual-use technology exports, adding fresh uncertainty to global markets. On August 5, Beijing announced sanctions against seven US entities and imposed stricter export controls on drones and dual-use technologies headed to America, a direct response to Washington’s recent expansion of sanctions tied to Xinjiang. Several of these are compliance, auditing, and testing firms, the kind of organizations that help US companies verify their supply chains aren’t tangled up in forced labor. AdvertisementOn the drone front, exports of drones and related dual-use technologies to the US now require case-by-case licensing reviews under China’s Export Control Law. The tit-for-tat timelineWashington recently added more than 40 Chinese entities to the Uyghur Forced Labor Prevention Act list, which effectively blocks imports from companies suspected of using forced labor in Xinjiang.