China Extends Hanwha Ocean Sanctions Suspension by Two Months

What happened

China's Ministry of Commerce, in the name of Minister Wang Wentao, issued Ministry of Commerce Order No. 4 of 2026 on Nov. 9, announcing a two-month suspension of countermeasures against five U.S. subsidiaries of Hanwha Ocean starting Nov. 10: Hanwha Philly Shipyard, Hanwha Shipping, Hanwha Shipping Holdings, Hanwha Ocean USA International and HS USA Holdings. The measures stem from the U.S.-China trade dispute: in April last year, the Office of the United States Trade Representative (USTR) announced plans to impose U.S. port fees on China-linked vessels under Section 301 of the Trade Act to counter China's shipbuilding and shipping industries; these took effect in October, when the U.S. began collecting the fees. China's Ministry of Commerce responded by imposing special port fees on U.S. vessels and placing Hanwha Ocean's subsidiaries on a sanctions list, citing their cooperation with the U.S. Section 301 investigation, with the restrictions prohibiting companies and individuals in China from conducting business or cooperating with the designated entities. After a U.S.-China summit in late October last year, the U.S. suspended its Section 301 measures for one year beginning Nov. 10, and China likewise suspended sanctions against Hanwha Ocean's subsidiaries for one year; the previous suspension period was scheduled to expire on Nov. 9. On Nov. 9, while extending the sanctions suspension for Hanwha Ocean's subsidiaries, the ministry also prolonged by two months the suspension of certain additional tariffs on U.S. imports and measures tightening export controls on rare earths. Hanwha Ocean has avoided the immediate reinstatement of sanctions, but the restrictions have not been withdrawn, and it remains uncertain whether they will resume after January next year. A Hanwha Ocean official welcomed the decision and explained that the company does not operate any shipyards building completed vessels in China; it operates a local subsidiary in Shandong Province manufacturing ship components and blocks, which is not directly related to the sanctions.

Impact and signal

Affected components and suppliers

Source and time

Source: The Elec · 11/10/2026 · View original source