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Photo = Yonhap news |
[Alpha Biz= Kim Jisun] The U.S. Department of Commerce has suspended export licenses for nuclear power equipment to China, according to a June 6 report by Reuters. The move comes just days before the scheduled U.S.-China trade negotiations on June 9.
Sources familiar with the matter said the Commerce Department recently informed domestic nuclear equipment manufacturers of the export restriction. The suspension reportedly applies to components and machinery used in nuclear power plants.
This action follows a May 28 announcement by a Commerce Department spokesperson, who stated that the U.S. would review exports of strategically sensitive products to China. “During the course of this review, the Department has, on a case-by-case basis, paused certain existing licenses and imposed additional licensing requirements,” the spokesperson said. However, the Department declined to comment specifically on the nuclear equipment export suspension.
Companies affected by the decision include U.S.-based nuclear technology firms Westinghouse and Emerson. Although both firms have not issued official statements, sources estimate that the decision could impact business deals worth hundreds of millions of dollars.
Some analysts suggest that a recent phone call between President Donald Trump and Chinese President Xi Jinping on June 5 could help ease tensions surrounding the export restrictions. During their call, the two leaders reportedly agreed to resume trade talks.
At their last high-level meeting in Geneva on May 10–11, both nations had agreed to significantly lower tariffs—by 115 percentage points—and China had pledged to lift certain non-tariff barriers imposed in response to U.S. measures. However, U.S. officials later accused China of violating the agreement by continuing to restrict exports of key minerals and rare earth elements. China denied the allegations and countered that the U.S. was discriminating against Chinese firms and students through export controls and visa restrictions.
In a potential sign of de-escalation, China has reportedly granted temporary export approvals for rare earth shipments to major U.S. automakers, including Ford, General Motors (GM), and Stellantis, Reuters reported.
알파경제 Kim Jisun (stockmk2020@alphabiz.co.kr)
