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World / Asia

China urges non-compliance with EU probe of scanner firm Nuctech

Published: 16 May 2026 - 05:04 pm | Last Updated: 16 May 2026 - 05:04 pm

AFP

Beijing: China urged individuals and organisations on Saturday not to cooperate with an anti-subsidy investigation by the European Union into Chinese group Nuctech, which specialises in security screening equipment.

Nuctech manufactures products including full-body security scanners and X-ray inspection systems for carry-on baggage, which can be used in airports, train stations or metro systems.

The EU launched the investigation in December 2025 on suspicion that Nuctech benefited from illegal subsidies.

The probe is based on the Foreign Subsidies Regulation, which took effect in 2023 and is aimed at combating unfair competition from foreign companies benefiting from state subsidies.

The regulation creates "trade and investment barriers", the Chinese Ministry of Commerce said in a statement on Saturday.

The ministry said China had advocated for "dialogue" but the "EU persisted in its unilateral actions, going further and further down the wrong path".

"(We) demand that no organisation or individual may implement or assist in the implementation of such measures," it said, adding that European action targeting Nuctech "constituted undue extraterritorial jurisdiction measures".

Nuctech is a subsidiary of state-controlled Chinese group Tsinghua Tongfang, which is involved in nuclear technology, IT and detection systems across several sectors.

The company said at the time the investigation was launched that it had taken note of the EU's decision but said the facts should be "assessed accurately and in an unbiased manner".