US Removes Three Indian Entities from Restricted List, Adds 11 Chinese Entities Over National Security Concerns

In a significant move, the United States Bureau of Industry and Security (BIS) announced the removal of three Indian entities from its restrictive Entity List while adding 11 Chinese entities due to concerns related to national security. This decision highlights the US’s intent to reward international cooperation while addressing security risks associated with Chinese military modernization.

US Removes Indian Entities: A Step Towards Cooperation

The BIS decision, notified through a press release by the US Department of Commerce, followed an interagency review. The three Indian entities removed from the Entity List are Indian Rare Earths Limited, the Indira Gandhi Atomic Research Center (IGCAR), and the Bhabha Atomic Research Center (BARC).

In its statement, the BIS emphasized that this removal supports US foreign policy objectives by reducing barriers to advanced energy cooperation, joint research and development, and science and technology collaboration.
“The removal of Indian entities will support US foreign policy objectives by reducing barriers to advanced energy cooperation, including joint research and development and science and technology cooperation, towards shared energy security needs and goals,” the BIS press release stated.

Why Were Chinese Entities Added By US?

At the same time, 11 Chinese entities were added to the Entity List due to their involvement in activities deemed contrary to US national security and foreign policy interests.
“With these Entity List additions and removal, we have sent a clear message that there are consequences for supporting the PRC’s military modernization, and alternatively, incentives for working with the US to further shared foreign policy goals and stronger bilateral relationships,” said Alan F. Estevez, Under Secretary of Commerce for Industry and Security.

The BIS’s action reflects growing concerns about China’s efforts to modernize its military using resources and technologies that may compromise international stability.

Strengthening US-India Relations

The removal of the three Indian entities underscores the strengthening ties between the US and India, particularly in areas such as peaceful nuclear cooperation and advanced energy partnerships. Over the past several years, the two countries have significantly expanded their collaboration in science and technology, benefiting not only their bilateral relations but also global partnerships.
“The United States and India share a commitment to advancing peaceful nuclear cooperation and associated research and development activities, with strengthened science and technology cooperation over the past several years that has benefitted both countries and their partner countries around the world,” the BIS stated.

What is US’ Entity List?

The Entity List, published by the BIS, includes the names of foreign entities—such as businesses, research institutions, and government organizations—that are subject to specific licensing requirements for the export, reexport, or in-country transfer of certain items.

Entities placed on this list are believed to engage in activities that may threaten US national security or foreign policy interests. While inclusion on the list does not prohibit transactions outright, it imposes strict licensing requirements, complicating international business operations.

Implications of the Move By US

The BIS’s actions signify a dual approach: fostering stronger bilateral relations with allies like India while addressing potential threats from nations like China. By removing barriers for Indian entities, the US is taking a step forward in promoting energy-related partnerships and reinforcing the growing strategic partnership between the two nations.

Meanwhile, the addition of Chinese entities sends a clear signal that supporting China’s military modernization will not go unnoticed. The US continues to leverage tools like the Entity List to shape global behavior in line with its national security and foreign policy goals.

As Alan F. Estevez remarked, “The Entity List is a powerful tool that can be used to shape behavior that advances US national security and global cooperation.”