China defends controls, say move ‘legal and legitimate’..

Chinese Ministry of Commerce spokesperson He Yongqian rejected Japan Prime Minister Takaichi’s request for a withdrawal in China’s export control of rare earths to Japan.

It accused Tokyo of distorted facts.

It claimed Japan was fuelling concerns over remilitarisation at a press conference in Beijing on Thursday.

“China firmly opposes and rejects (Takaichi's statements). The root cause of China's measures against Japan lies in Prime Minister Takaichi's erroneous words and actions, a fact well understood by the Japanese side,” said He.

Takaichi has publicly protested China’s recent export controls on dual-use items.

This included certain rare earth elements, after Beijing’s decision which banned the sale of more than 800 items to end users deemed capable of supporting Japan’s military capabilities.

He said the restrictions were implemented in line with Chinese laws and regulations. stressing that the ban applies to exports destined for Japanese military users as well as other end uses that could enhance Japan’s military strength.

“It’s aimed at preventing ‘remilitarisation’ and attempts to acquire nuclear weapons, and is entirely legitimate, reasonable, and legal,” she reiterated.

“The Japanese side, instead of facing the root cause of the problem, fabricates accusations of ‘economic coercion’ from China,” she added.

The briefing also touched on broader trade issues. The spokesperson welcomed what she described as positive results in China’s electric vehicle dispute with the European Union, announced earlier this week after several rounds of consultations.

Beijing and Brussels have agreed on the need to provide general guidance on price undertakings for Chinese companies exporting battery electric passenger cars to the EU.

“A ‘soft landing’ for the EV dispute will significantly boost market confidence and inject new momentum into Sino-EU automotive trade and investment cooperation,” He said.

Responding to a question on whether a free trade agreement could be reached during Canadian Prime Minister Mark Carney’s visit to Beijing, He said China remains open to negotiating trade and investment agreements with willing partners.

On Thursday, Carney began the first trip by a Canadian leader to China in eight years, during which he will meet President Xi Jinping. Chinese Foreign Minister Wang Yi described the meeting as a ‘turning point’ that will open up new prospects for the Chinese-Canadian relationship.