According to the Ministry of Commerce website, on August 20, the Ministry of Commerce held a regular press conference.
A journalist asked that on August 19th, China issued another ban against the EU's cross-border investigations of relevant Chinese entities using the Foreign State Subsidies Regulation. What is the Ministry of Commerce's comment on this?
Business Ministry spokesman He Yadong stated that China has always opposed the European side using unilateral measures such as the Foreign Subsidies Regulation to suppress Chinese enterprises. In May of this year, in the Tongfang Vision case, China issued an injunction for the first time. Recently, in the JD.com case, the European side unreasonably requested a large amount of information related to China that has nothing to do with the investigation from relevant banks and institutions in China.
He Yadong said that, based on thorough investigations, the relevant departments of the Chinese government have determined, in accordance with the ‘Regulations of the People’s Republic of China on Anti-Foreign Unjust Extraterritorial Jurisdiction’, that the European practices related to the FSR investigation of JD.com involve improper extraterritorial jurisdiction measures. These measures prohibit any organization or individual from implementing or assisting in implementing such measures.
He Yadong emphasized that China and Europe have established a trade and investment consultation mechanism, and have reached an agreement to manage differences through dialogue. He hoped that the European side would take steps in line with those of China, quickly correct the wrong practices during the FSR investigation, and strengthen communication through intergovernmental dialogue. China will closely monitor the actions of the European side and will take necessary measures to firmly safeguard national security and the legal rights of enterprises. Thank you.
According to the Justice Department's website, on August 19th, the Justice Department issued a notice stating that practices related to investigations into foreign subsidies from the European Union constitute improper extraterritorial jurisdiction.
According to Articles 3 and 6 of the ‘Regulations of the People’s Republic of China on Countering Unlawful Extraterritorial Jurisdiction by Foreign States’, the Ministry of Justice, in conjunction with relevant departments such as the Ministry of Commerce, has investigated and determined that the European Union’s use of its ‘Regulations on Foreign Subsidies’ in investigating JD.com constitutes unlawful extraterritorial jurisdiction measures.
Any organization or individual is forbidden to execute or assist in executing such extraterritorial jurisdiction measures.
This announcement takes effect from the date of publication.
On the same day, a spokesman for the Department of Justice answered reporters' questions regarding the inappropriate extraterritorial jurisdiction stemming from EU foreign subsidies investigations.
Question: On August 19, 2026, the Department of Justice issued a statement recognizing that the European Union's use of its "Foreign Subsidies Regulations" in investigating JD.com constitutes an improper extraterritorial jurisdiction regarding the cross-border investigative measures taken against Chinese entities. What are the considerations behind this decision?
Answer: Recently, the European Union used its "Foreign Subsidies Regulations" to investigate JD.com, arbitrarily requesting extensive and unnecessary information from Chinese entities across borders. This is an improper request made against relevant entities and a serious violation of international law. To safeguard national sovereignty, security, and development interests, as well as the legal rights of Chinese citizens, legal entities, or other organizations, the Ministry of Justice, in accordance with the "Anti-Foreign Improper Extraterritorial Jurisdiction Regulations of the People’s Republic of China," has jointly with relevant departments such as the Ministry of Commerce, identified that the European Union's actions constitute improper extraterritorial jurisdiction measures. It has been determined that no organization or individual should execute or assist in carrying out such measures. The EU is expected to immediately correct its wrongful practices and stop abusing the "foreign subsidies" investigation tools, thereby creating a fair, just, and predictable market environment for enterprises investing in Europe. If the EU persists in its unilateral actions, China will resolutely counter them according to the law.
