China Issues Supply Chain Rules Targeting Foreign Disruption

China will set up a sweeping new mechanism to ensure the security of its supply chains, targeting espionage and allowing Beijing to retaliate against foreign entities if they impose curbs on trade, according to a directive released by the State Council on Tuesday.

The new rules give government agencies the authority to start security probes against foreign nations and international organizations if they “adopt discriminatory bans” and other similar measures against China, or if they carry out actions that harm the security of the country’s supply chains.