On October 30, 2026, the Bureau of Industry, Security, Import and Export Control of the Ministry of Commerce (MOFCOM) issued a notice to solicit public comments on the Measures for the Investigation and Enforcement of the Export Control of Dual-use Items (Draft for Comments) (hereinafter the "Measures"), with a feedback deadline of November 29, 2026. Once issued, the Measures will establish dual-use item export control with dedicated rules on investigation and enforcement procedures, and enforcement activities such as supervision and inspection, case filing and investigation, and administrative penalties will follow unified, detailed procedural rules.
Background of the Drafting
The CPC Central Committee and the State Council attach great importance to export control. "Improving the export control system" has been written into the Decision of the CPC Central Committee on Further Comprehensively Deepening Reform and Advancing Chinese Modernization adopted at the Third Plenary Session of the 20th CPC Central Committee, and "improving export control and security review mechanisms" has been written into the proposals for the 15th Five-Year Plan adopted at the Fourth Plenary Session of the 20th CPC Central Committee. In its drafting explanation, MOFCOM stated that enforcement is an important link in the export control system for dual-use items, and that the Measures are drafted under the authorization of, and as required by, the Export Control Law of the People's Republic of China (hereinafter the "Export Control Law") and the Regulations of the People's Republic of China on the Export Control of Dual-Use Items (hereinafter the "Regulations on the Export Control of Dual-Use Items"). The aim is to refine investigation and enforcement procedures within the scope of authorization and to improve an export control enforcement mechanism with unified powers and responsibilities that is authoritative and efficient, so as to support the achievement of export control policy objectives and ensure control effectiveness.
Main Contents of the Measures
The Measures consist of seven chapters and 61 articles: General Provisions, General Procedural Rules, Supervision and Inspection, Case Filing and Investigation, Decisions on Administrative Penalties, Enforcement and Case Closure, and Supplementary Provisions. The main contents are as follows:
- Enforcement authorities and personnel: Enforcement work is carried out by MOFCOM's internal and dispatched agencies in charge of export control. There must be no fewer than two enforcement officers, who must present their administrative law enforcement credentials to the party concerned or relevant persons. Local competent commerce departments may provide assistance and cooperation in investigation and enforcement-related work.
- General procedural rules: The draft uniformly stipulates the procedural requirements applicable to all enforcement stages, such as recusal, questioning, and sealing and seizure. Sealing and seizure generally last no more than 30 days and may be extended by no more than 30 days with the approval of the head of MOFCOM; the time taken to identify items is not counted in the period.
- Supervision and inspection: MOFCOM may conduct supervision and inspection targeting unspecified objects or unspecified matters, and may also inspect specific objects based on leads such as referrals from other departments and reports, or as needed for special enforcement actions in key areas. When conducting an inspection, MOFCOM shall notify the inspectee to be present, issue a supervision and inspection notice, and prepare an on-site inspection record; enforcement officers may question relevant persons and make audio and video recordings throughout the process.
- Case filing and investigation: The four conditions for case filing are specified: evidence preliminarily shows a suspected violation of laws, regulations and rules on the export control of dual-use items; an administrative penalty should be imposed according to law; the case falls under MOFCOM's jurisdiction; and the limitation period for pursuing liability under the Administrative Penalty Law has not expired. As a rule, MOFCOM shall render an administrative penalty decision within six months of the date of case filing; for complex cases, an extension of six months may be granted upon approval, and for particularly complex cases, whether to extend is decided through collective discussion by MOFCOM's responsible officials. The draft specifies rules for collecting evidence such as documentary and physical evidence, audio-visual materials and electronic data, and inquiries into bank accounts must go through approval procedures. During enforcement, the relevant items may be identified to determine whether they are dual-use items.
- Decisions on administrative penalties: The draft lists the circumstances in which no penalty is imposed, in which lighter or mitigated penalties shall be given (11 circumstances), and in which heavier penalties may be given (3 circumstances). Illegal gains are determined as all income obtained by the party from committing the violation minus lawful and necessary expenses directly used for production and business activities; the amount of illegal business operations is determined as the total value of the goods involved, the value of the technologies, or the total operating revenue of services. Before making a penalty decision, MOFCOM shall prepare a written notice of administrative penalty; the party may submit written statements, defenses, and hearing requests within five working days of receiving the notice. Administrative penalty decisions are made public in accordance with the law.
- Enforcement and case closure: Where the party faces genuine financial difficulties, it may apply for deferred or installment payment of fines; where the party fails to comply with the penalty decision within the time limit, MOFCOM may apply to the people's court for compulsory enforcement in accordance with the law. The draft also specifies the circumstances for suspension of enforcement, termination of enforcement, and case closure, as well as the requirements for recording the entire enforcement process and archiving case files.
The Supplementary Provisions also stipulate that MOFCOM's investigation and punishment of violations of Articles 37 and 38 of the Regulations on the Export Control of Dual-Use Items and of the Regulations of the People's Republic of China on the Administration of the Import and Export of Technologies applies the Measures by reference.
Compliance Mechanisms and Voluntary Reporting Will Directly Affect the Severity of Penalties
For exporters of dual-use items, the penalty rules of the Measures embody a "compliance-based mitigation" orientation in multiple provisions. The circumstances in which lighter or mitigated penalties shall be given expressly include: voluntarily discovering violations before case filing and investigation and reporting the violations in detail to MOFCOM in writing within three months of discovery; establishing a compliance mechanism that operates well and timely reporting and correcting suspected violations; voluntarily reporting, or eliminating or mitigating the harmful consequences of, violations; and voluntarily confessing violations not yet known to MOFCOM.
Conversely, heavier penalties may be imposed where an enterprise, after undergoing regulatory talks, receiving a warning letter, or carrying out self-inspection as required by MOFCOM, still engages in illegal export business activities involving dual-use items; where it has been subject to criminal punishment for an export control violation and less than five years have passed since the penalty was served; or where it violates relevant export control laws and regulations again within less than three years after an administrative penalty decision took effect. Where the same party commits multiple causally related violations in respect of the same batch of dual-use items, the penalty shall be determined according to the heavier of the applicable penalty ranges.
Channels for Feedback
The public may provide feedback through the following channels before November 29, 2026:
- Email: zfbf@mofcom.gov.cn;
- Fax: 010-65198775;
- Letter: Bureau of Industry, Security, Import and Export Control, Ministry of Commerce, No. 2 East Chang'an Avenue, Dongcheng District, Beijing, 100731.
When providing feedback, please indicate "Measures for the Investigation and Enforcement of the Export Control of Dual-use Items" in the email subject, on the first page of the fax, or on the letter.
ChemRadar Insights
The draft Measures offer the following reminders for enterprises exporting dual-use items:
- Once the Measures are officially issued, supervision and inspection, case filing and investigation, and administrative penalties for exporters of dual-use items will follow unified and detailed enforcement procedures, and there will be clear rules on the cycle for penalty decisions (generally within six months of case filing) and on the conditions and time limits for compulsory measures such as sealing and seizure. Chemical enterprises engaged in the export of items listed in the Export Control List of Dual-Use Items and related technologies are advised to assess, against the Measures, how their existing export control compliance systems align with the enforcement requirements.
- The Measures expressly list "establishing a compliance mechanism that operates well" and "voluntary reporting" as circumstances for lighter or mitigated penalties, so the quality of building and operating a compliance system will directly affect penalty outcomes in the event of violations. Earlier, MIIT also solicited public comments on the Internal Compliance Guidelines for Export Control of Monitored Chemicals (Draft for Comments) (with the same deadline of November 29, 2026). The institutional framework of "enforcement procedures plus compliance guidance" in the export control field is taking shape rapidly, and relevant enterprises are advised to use the comment windows for the two documents to improve their internal compliance mechanisms in parallel.
- Enterprises with comments on the provisions of the draft Measures may submit feedback through the channels above before the deadline, so as to have a say at the rule-making stage.
