China adds US companies to control list

China has added MP Materials and USA Rare Earth as well as eight other US entities it said are linked to the US military to its export control list, in retaliation for Washington placing several Chinese companies under restrictions this month.

The measures are a response to the "US government's malicious practice" and are taken to safeguard national security and interests as well as to fulfil international obligations such as non-proliferation, China's Commerce Ministry said in a statement Monday.

Analysts said however that China's actions were a largely symbolic response to the Pentagon's 1260H list of Chinese tech companies it believes to be aiding the Chinese military. The list was updated this month to include e-commerce giant Alibaba internet search provider Baidu and automakers BYD and NIO.

In a separate notice, China's finance ministry said it has decided to take measures against 46 US companies. Chinese buyers are now barred from procuring products manufactured by them, but US-funded enterprises operating in China can still do so.