(Yicai Global) April 6 -- China has demanded that the United States, Japan, and the Netherlands clarify whether they have an agreement on export restrictions on the export of chips, Yicai Global learned from an authoritative source.

During World Trade Organization meetings of the Council for Trade in Goods held from April 3 to April 4, China requested the three members to confirm if the deal exists after the media knew about it without official announcements. It also asked whether the WTO members should be notified about the agreement so they can review it.

The three members may know that the deal violates WTO's rules, so they keep a low profile about it, according to the Chinese representative. China believes that the agreement breaks the WTO's principle of transparency and damages the authority and validity of the organization's rules, the person noted.

China demands that the US, Japan, and the Netherlands report the chip export restrictions agreement to the WTO for it to take action and calls on the organization to enhance its regulations on such acts.

The meeting of the Council for Trade in Goods is no place to discuss national security, including the control of exports, the US said. 

Japan acts according to the Foreign Exchange and Foreign Trade Act and conducts strict export controls following the WTO rules to protect international peace and security, the Asian member stressed. 

The European Union asked China to restate its concerns, adding that the Netherlands' national regulatory procedures are underway and a ministerial decree will be released before the summer. The ministerial order is part of the framework of the EU's dual-use export controls, which allows member countries to impose additional export controls for their national security, an EU representative said.

China also raised its concerns about the US imposing significant restrictions on trade in the name of national security, noting that it abuses this clause and imposes Section 301 tariffs on some goods from China.

Editor: Martin Kadiev