China's control on dual-use items export to Japan will cause far-reaching and deep impacts on Japan's economy, said Liu Junhong, an expert on China-Japan relations.
China on Tuesday announced bans on the export of all dual-use items to Japanese military users, for Japan's military use, and for any other end-users and end-use purposes that could help enhance Japan's military capabilities.
In an interview with China Global Television Network (CGTN), Liu said that Japan's reliance on China's rare earths and other strategic mineral resources is still significance, even though Japan has tried to diversify its supply chains by working with the United States, Europe, Australia, Vietnam, and India.
"When it comes to strategic resources, such as certain metals, particularly rare metals, rare earths, some chemical products and finished goods, Japan is highly dependent on China within the bilateral trade structure," said Liu, a research fellow at the China Institute of Contemporary International Relations.
China's dual-use export controls will have a profound impact on Japan's military sector, according to the expert.
"If the export control measures are fully implemented and result in tangible impacts, the effects on production will be twofold: broad in scope and profound in functional depth. For instance, aviation-related products will face significant challenges in finding substitutes. Japan's production model makes it challenging for a single enterprise to dominate a specific product within a particular sector," Liu said.
This means the impact would not be limited to a single company or sector, and the ripple effects could spread across multiple industries, he added.
The export controls could also raise operating costs for Japanese companies, Liu said.
Japan's firms may need to prove that their products are not used for military purposes, their end users are civilian, and their production does not enhance military capabilities, Liu said, adding that this compliance process will add costs and delay Japan's imports.
China's export controls to put broader economic pressure on Japan: expert
The Guangdong–Hong Kong–Macao Greater Bay Area (GBA) is emerging as a key engine for China's fast-growing low-altitude economy by leveraging its dense industrial networks, efficient logistics systems, and rapid innovation capacity.
From logistics and manufacturing to urban services, the region is building an integrated industrial chain that allows low-altitude industries to scale up at unprecedented speed, thus turning drone-based applications from isolated trials into large-scale, commercial operations.
China's 15th Five-Year Plan, covering 2026 to 2030, calls for the cultivation of new pillar industries and the accelerated development of strategic emerging industrial clusters, including the low-altitude economy.
At a drone operations center in Bao'an District, Shenzhen City in south China's Guangdong Province, a dozen logistics drones take off and land within minutes. Urgently needed production parts, documents, and small parcels are dispatched from here to cities in the province including Dongguan, Zhongshan, and Zhuhai.
Behind these high-flying aircraft lies what observers describe as an "invisible industrial chain", built on speed and efficiency.
"Look at this aircraft. About 90 percent of its components come from nearby areas. Relying on Shenzhen's strong logistics capabilities and its complete supply chain, these parts can be delivered to our factory within half an hour for assembly, processing, and production," said Li Kunhuang, person-in-charge of Shenzhen GODO Innovation Technology Co., Ltd.
Once a new product is unveiled, testing and calibration begin immediately at the drone testing field. As soon as the process is completed, the new models can be put into real-world operation, realizing almost “zero delay” from research and development to application.
Supported by a robust industrial chain, low-altitude routes in Shenzhen are effectively connecting the urban landscape. From its Bao'an District to Songshan Lake in Dongguan City, production components can be delivered within one hour. Supplies are transported between Zhuhai City's Xiangzhou Port to Dong'ao Island in just 25 minutes. And light industrial goods can travel round-trip within a single day between Guzhen Town in Zhongshan City and Xinhui District in Jiangmen City.
More low-altitude application scenarios are expected to be implemented in the near future.
In Qianhai District, Shenzhen is accelerating the construction of a pilot demonstration zone of low-altitude integrated three-dimensional transportation hub.
"We have built the country's first low-altitude integrated three-dimensional transportation hub, and are gradually developing a pilot flight zone that integrates multiple scenarios such as inspection, logistics, and cultural tourism. This will provide technical support for the next step of commercializing cross-border logistics and emergency rescue services across the Guangdong–Hong Kong–Macao Greater Bay Area," said Wu Xuemin, head of the Shenzhen Qianhai Low-Altitude Integrated Three-Dimensional Transportation Hub Pilot Demonstration Zone.
Integrated supply chains propel Greater Bay Area's low-altitude economy growth
