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Wire · regulatory

China's Court Takes Expansive View in Applying the Anti-Foreign Sanctions Law ...

8 September 2026 · By · Wire by Fusion42

Published

8 September 2026

Topic

regulatory

◆ Sectors

Logistics Tech

◆ Geography

China

◆ Source

Read at jdsupra.com →

◆ Verified

Fusion42 · 8 September 2026 · Fusion42 review

China's Supreme People's Court upheld a decision applying the Anti-Foreign Sanctions Law (AFSL) to override contractual choice-of-law clauses favoring Singapore law, allowing damages for a shipping contract breach caused by compliance with U.S. export controls against a Chinese entity on the BIS Entity List.

This Wire brief sits within Fusion42's coverage of Logistics Tech.

◆ ◆ The Wire takeaway

You face heightened legal risks if your shipping or supply contracts link to Chinese entities targeted by U.S. export controls, as Chinese courts will enforce local sanctions laws over foreign law clauses. This opens the door to litigation and damages claims that override usual contract protections.

◆ Coverage

1 source · 8 Sep 2026

◆ Related on Wire

◆ Topics

Logistics Techchinaexport-controlscontractssanctionsshipping