On January 9, China’s Ministry of Commerce (MOFCOM) issued MOFCOM Order No. 1 of 2021—the ‘Measures for Blocking the Improper Extraterritorial Application of Foreign Laws and Measures’ (hereinafter referred to as the ‘Blocking Measures’)—which entered into force upon publication. Comprising sixteen articles, the Blocking Measures establish a foundational institutional framework for China’s response to the improper extraterritorial application of foreign laws and measures, covering legislative purpose, scope of application, coordination mechanisms, legal liabilities, and other aspects.
The core objective of implementing the Blocking Measures is to ‘block’ the improper extraterritorial application of foreign administrative and judicial authorities’ domestic laws and measures against relevant Chinese entities. This represents a significant initiative taken by China’s commerce authorities, grounded in China’s specific national conditions and aligned with the global trend toward blocking legislation. Some analysts contend that this move will effectively counteract the U.S. practice of ‘long-arm jurisdiction’ and mitigate the adverse impact of foreign laws on Chinese enterprises.
Last updated: 2026-03-08